Kraken, a crypto exchange, freezes accounts relating to FTX or Alameda

​ 

Kraken stated that it had blocked account access to funds “we suspect to have been associated with fraud, negligence or misconduct related to FTX.” After engaging with authorities, Kraken, a United States-based cryptocurrency exchange, has frozen accounts associated with “FTX group, Alameda Research and their executives.” Kraken stated that the accounts were frozen to protect their creditors and added that it “maintains full reserve” and other users’ funds weren’t affected. This likely aimed to dispel fears among users that the exchange might experience liquidity problems due to the fund freeze. Kraken spoke with law enforcement about a few accounts held by Alameda Research, FTX Group and their executives. These accounts were frozen to protect their creditors. Other Kraken clients are not affected. Kraken maintains full reserves.– Kraken Exchange (@krakenfx) November 13, 2022
Cointelegraph was told by a Kraken spokesperson that the company had “actively watched recent developments with FTX” and was “in contact with law enforcement” to inform them that it had frozen account access to funds “we suspect to have been associated with fraud, negligence or misconduct related to FTX.” Kraken spokesperson told Cointelegraph that it had “actively monitored recent developments with the FTX estate” and “are in contact with law enforcement” saying that it had frozen account access to certain funds “we suspect to be associated with fraud, negligence or misconduct related to FTX.” “Related to: FTX collapse: Lehman Brothers’ moment in crypto industry. Regulators seem to be taking a hard line against FTX and its executives in the wake of recent turmoil. FTX is headquartered at The Bahamas. The country’s securities regulator, on Nov. 10, frozen the assets of FTX Digital Markets — a subsidiary of the exchanges in Bahamian — and its “related persons.” “The Bahamian Securities Regulator on Nov. 12 denied that FTX was instructed to prioritize withdrawals from Bahamas-based users. However, FTX has stated on Nov. 11 it received instructions from the regulator to facilitate Bahamian withdrawals. A Nov. 13 report states that the Royal Bahamas Police Force is investigating FTX for possible criminal misconduct.