According to The New York Times, the FBI raided the home of Jesse Powell, the co-founder and former CEO of the giant crypto exchange Kraken, amidst an investigation into allegations of hacking and cyber harassment of a non-profit art group.
Electronic Devices Seized from His Home
Under the header “Electronic Devices Seized at His Home,” it’s reported that the FBI conducted a search at the home of former Kraken CEO Jesse Powell in March, as part of an investigation into allegations that he had hacked and cyber harassed a non-profit art group.
According to the information obtained, the FBI and the U.S. Attorney’s Office for the Northern District of California have been investigating Powell since at least last fall. Sources familiar with the matter who spoke to The New York Times claim that Powell interfered with computer accounts, including blocking access to a non-profit organization’s emails and other messages.
The sources confirmed that the FBI carried out a search at Powell’s home in Los Angeles, seizing all electronic devices present. The New York Times added that prosecutors have not yet brought any charges against Powell.
He Resigned as CEO Last Year
Under the sub-heading “Resigned as CEO Last Year,” it’s mentioned that Powell, one of the founding partners of the cryptocurrency exchange Kraken, had stepped down as CEO at the end of last year. Because Powell is currently serving as the Chairman of Kraken’s board, speculations arose regarding the raid’s potential link to the exchange.
A spokesperson for Kraken told The New York Times that there’s no connection between the investigation and the company, and there’s no reason to believe that prosecutors are investigating any potential issue with the cryptocurrency exchange.
Data shows that the U.S.-based Kraken, with a trading volume of $717.98 million in the last 24 hours, is the third largest cryptocurrency exchange in the world.
