We offer a variety of crypto products and services to over nine million clients in 190 different countries. Last year, we received data requests from law enforcement and government agencies located in 69 countries:
While these requesting agencies were spread across the federal, state, and local levels, most of the requests received were from law enforcement agencies. The most common requests for which data was provided were:
Many types of information requests are received, and Kraken has strict policies and procedures to comply with laws and regulations and protect client privacy while supplying data when we have a legal obligation to do so.
U.S. agencies issued 28.2% of all data requests in 2023
Kraken received 4,923 data requests in 2023; the U.S. issued the most (1,393), as it did in 2022. The FBI, again, had the most requests of any U.S. agency (33.1%):
2023 U.S. requests primarily originated with law enforcement agencies. While the SEC represented just 1.8% of total U.S. agency requests, they issued 58.1% of all U.S. regulatory agency requests:
Combined global law enforcement and regulatory agency requests increased 33% in 2023 vs. 2022
Global regulatory agency requests increased 70% vs. 2022
We provided data for 51% of requests. Data was requested for 6,110 total accounts – most often for clients located in the U.S. (22%), Germany (11%) and the U.K. (9%)
The largest percentage increase in data requests vs. 2022 came from the British Virgin Islands (400%) and Australia (341%)
A dedicated team of compliance experts
Our Compliance Team consists of seasoned AML professionals, attorneys, former law enforcement officers, Association of Certified Anti-Money Laundering Specialists (ACAMS)-certified analysts and many other professionals with cryptocurrency-related accreditations.
They work to ensure we conduct appropriate investigations and monitoring for our clients and the industry. To efficiently and professionally meet law enforcement and regulatory agency requests, we continue to expand and strengthen our compliance program, including a 33% decrease in 2023’s average request turnaround time vs. 2022, as we built specialized teams and automated some processes.
Industry-leading data security practices
The privacy of your personal information is very important to us. We relentlessly work to protect your information through the dedicated design efforts of our Security Team as well as our Data Privacy team. For more than a decade, we’ve been building an industry leading security practice led by some of the top security experts in the world:
These materials are for general information purposes only and are not investment advice or a recommendation or solicitation to buy, sell, stake or hold any cryptoasset or to engage in any specific trading strategy. Kraken does not and will not work to increase or decrease the price of any particular cryptoasset it makes available. Some crypto products and markets are unregulated, and you may not be protected by government compensation and/or regulatory protection schemes. The unpredictable nature of the cryptoasset markets can lead to loss of funds. Tax may be payable on any return and/or on any increase in the value of your cryptoassets and you should seek independent advice on your taxation position. Geographic restrictions may apply.
Source: https://blog.kraken.com/news/announcing-the-2023-kraken-transparency-report
