Announcing the 2022 Kraken Transparency Report – Crypto News Today

In an effort to lead the industry in trust and transparency in our mission to accelerate cryptocurrency adoption, we are excited to release our Transparency report 2022.

The 2022 Transparency Report provides a summary of how we protect the privacy and financial freedom of our customers while complying with the legal requests we regularly receive from agencies around the world.

of a NFT Market has a professional business interface, Kraken offers a variety of crypto products and services to over 9 million customers in 190 different countries. Last year, Kraken received data requests from law enforcement and government agencies located in over 60 different countries. While these requesting agencies were split between the federal, state and local levels, most of the requests received came from law enforcement agencies.

Kraken receives all types of legal requests for information, including subpoenas, subpoenas, court orders, and other statutory requests. Kraken has strict policies and procedures in place to protect customer privacy, which are meticulously followed before customer data is produced. Kraken provides data when we have a legal obligation to comply with the request. It is important to note that failure to comply when we have a legal obligation to do so may result in civil or criminal penalties against Kraken.

Key points to remember

• Kraken received a total of 3,705 requests during the reporting period, an increase of 51% over last year.
• 71% of requests came from outside the United States for a total of 2,624 non-US requests. US-based requests totaled 1,081.
• Most law enforcement requests came from the United States, Germany, Britain and Spain.
• We found that 79% of our US requests came from law enforcement, for a total of 852 requests from US-based law enforcement agencies.

51% increase in number of law enforcement and government requests in 2022

The number of applications received in 2022 represented a 51% increase over the previous year. This continues the trend of steadily increasing volume of requests that we have seen over the past few years.

For example, the year-over-year percentage increase of 2019 over 2022 is over 420%. Despite the dramatic increase in requests, Kraken continues to focus on protecting our customers’ data through our adherence to strong policies and scrupulous compliance with legal obligations.

To meet the demands of these agencies in an efficient and professional manner, we continue to expand and strengthen our compliance program. Over the past year, we have increased the size of our compliance team by 55% to meet the demands of the global network of agencies requesting information from Kraken.

Kraken’s compliance team is comprised of seasoned anti-money laundering professionals, attorneys, former law enforcement officers, ACAMS-certified analysts, and many other professionals who hold Credentials. cryptocurrency-related accreditations. The team works to ensure that Kraken conducts appropriate investigations and oversight for our customers and the industry.

US-based agencies submit the most requests

As has been the case for several years, US-based agencies continue to issue the most requests. US requests (1,081) accounted for approximately 29% of requests received by Kraken. The other main requesting countries in sequential order were Germany (784), Great Britain (385), Spain (272) and France (251). These five countries also issued the most requests in 2021.

Most requests issued by the FBI

Of all the more than 60 law enforcement and government agencies making requests, the FBI has consistently issued the most requests in recent years. They continued this trend in 2022. FBI requests represent approximately 31% (332) of requests from US-based agencies. The next two major US agencies were DHS-ICE (145) and DEA (109).

“For 2023, Kraken reaffirms our commitment to work alongside law enforcement and government agencies to root out criminals and bad actors in this space. Nevertheless, we are also committed to providing the best possible service to our customers, as we strive to protect their funds and their privacy. said David Zacks, senior director of compliance at Kraken. “This year’s Transparency Report once again provides a deeper level of clarity on how Kraken is executing our mission to accelerate cryptocurrency adoption, while protecting the financial freedom of our customers through our different products and services.”

Even with the significant increase in the volume of requests and increased scrutiny of the cryptocurrency industry by law enforcement and government agencies, Kraken will continue to work diligently to protect the privacy of our customers while responding to the many law enforcement and government inquiries we receive. .

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