Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
Home»EXCHANGE NEWS»Kraken co-founder warns of new threats as cryptocurrency crackdown continues
EXCHANGE NEWS

Kraken co-founder warns of new threats as cryptocurrency crackdown continues

By Crypto FlexsNovember 26, 20234 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Kraken co-founder warns of new threats as cryptocurrency crackdown continues
Share
Facebook Twitter LinkedIn Pinterest Email

Kraken founder Jesse Powell warned: “A new threat to the industry’s reputation” After the incident that led to the resignation of Binance founder Changpeng Zhao. Powell Doesn’t Congratulate Binance Survey Results express This decision left the industry feeling “fairer” despite what happened. “New threat”.

There is no doubt that the US and EU are taking a harsh stance on cryptocurrencies.

The SEC is also tracking Kraken

Powell, who stepped down as CEO of Kraken in April, has become one of the most important players in the cryptocurrency industry, especially in the United States. The exchange Powell co-founded in 2011 became one of the only companies to operate on U.S. soil, making it highly vulnerable to regulatory scrutiny.

As the Securities and Exchange Commission (SEC) and other regulators cracked down on cryptocurrencies, many believed that exchanges like Coinbase and Kraken would gain a competitive advantage. But that wasn’t the case.

Kraken and Coinbase were sued by regulators earlier this year, despite cooperating with regulators in the past. Powell was critical of the lawsuit against Kraken. “The SEC is clearly bringing cases out of convenience” because it is easier than “going after the most serious criminals overseas.”

The SEC and Kraken already reached a $30 settlement earlier this year, which led to the exchange discontinuing its staking services in the US. Powell explained that this lawsuit was again extortion. “With just $30 million, you can live for about 10 months.”

Are regulators looking for a scapegoat?

With regulators rejecting regulatory clarity and the cryptocurrency industry lacking public trust, Binance’s finances could be key in determining the future of cryptocurrency. Most of the debate now focuses on the use of cryptocurrencies for illicit purposes, which has further undermined the industry’s recent efforts to increase transparency.

Despite efforts by industry leaders to improve the reputation of cryptocurrencies through self-policing, malicious actors continue to emerge. According to Powell, regulators and governments are taking every advantage. “Illegal transaction” to “Use cryptocurrencies as a scapegoat and tighten the noose.”

The idea that cryptocurrencies are particularly useful for malicious actors to launder money is not new. In 2021, Janet Yellen claimed that cryptocurrencies were primarily used for illicit financing, a claim that was widely accepted despite being proven to be a false narrative by data from organizations such as Chainalytic and even the United Nations.

The way the case against Binance and its founder has been portrayed over the past few days has led many to believe that cryptocurrencies have no place in today’s economic system. However, this idea could not be further from the truth.

Patterns that are not unique to cryptocurrencies

Binance was fined $4.3 billion for failing to comply and operating without proper registration. “We have appropriate know-your-customer compliance controls in place”; According to the Commodity Futures Trading Commission.

Binance’s failure to stop illegal activities in its ecosystem has been viewed as unwillingness by regulators such as the SEC. However, these failures or rejections should not be portrayed as representative of the industry as a whole or apply only to that industry.

Earlier this year, Deutsche Bank was fined $186 million for failing to fix its money laundering controls. Some of these were caught by regulators eight years ago. Traditional financial giants such as HSBC, JPMorgan Chase and Danske Bank have also been the target of enforcement actions for similar cases over the past decade.

The International Consortium of Investigative Journalists found that in 2020, several global banks traded more than $2 trillion in transactions flagged as potentially illicit activity. Many of these deals have allowed Mexican drug cartels, terrorist organizations, crooks, and corrupt governments to operate for years.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Acurast launches ‘Staked Compute’ and challenges AWS, Azure and Google Cloud using the distributed smartphone network.

September 3, 2025

Bitcoin Price Posts for 5 consecutive August losses: Will Michael Saylor react?

August 31, 2025

Pudgy Penguins

August 28, 2025
Add A Comment

Comments are closed.

Recent Posts

NOWPayments To Participate In SiGMA Europe Rome 2025

September 4, 2025

Web3 Enabler Announces Blockchain Payments V3.1 At Northeast Dreamin In Boston

September 4, 2025

Is XRP The Dark Horse Of The Cryptocurrency World? Earn 652 XRP Daily Using Invro Mining’s Smart Contract

September 4, 2025

TRX Was Early, ETH Set The Standard, BNB Built The Scale- Now SYC Brings The Next Evolution

September 4, 2025

Sign Up And Receive $500 Bonus, Ushering In A New Era Of Compliant And Secure Crypto Investment

September 4, 2025

Why experts say that 99%of the traders are wrong

September 4, 2025

ChainUp Named Double Finalist At Thomson Reuters’ ALB Pan-Asian Regulatory Awards 2025

September 4, 2025

Integrated security classes can accelerate the adoption of institutional passwords.

September 4, 2025

Binance explodes 466m LUNC with oblivion: revival play or special effect?

September 4, 2025

Cardano founder says Chainlink quotes ‘ridiculous price’ to them.

September 3, 2025

Acurast launches ‘Staked Compute’ and challenges AWS, Azure and Google Cloud using the distributed smartphone network.

September 3, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

NOWPayments To Participate In SiGMA Europe Rome 2025

September 4, 2025

Web3 Enabler Announces Blockchain Payments V3.1 At Northeast Dreamin In Boston

September 4, 2025

Is XRP The Dark Horse Of The Cryptocurrency World? Earn 652 XRP Daily Using Invro Mining’s Smart Contract

September 4, 2025
Most Popular

Binance CEO said the company is moving toward ‘greater maturity.’

April 9, 2024

Solana-Based Zack Morris Cryptocurrency (ZACK) Explodes 200%, but Should You Be Careful?

May 21, 2024

Binance seizes the funds of Market Maker after discovering illegal acts and ‘irregularity of market’.

March 11, 2025
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.