Is Kraken safe?
- Fee on a $1,000 buy
- $8by bank transfer
- Bank withdrawal time
- 0–2 days
- Coins
- 721
US customers of Kraken deal with Payward Interactive, Inc. Crypto you keep on Kraken isn't FDIC insured. 3 dated incidents are on record for Kraken, and sources are listed for each.
Kraken's licences and registrations
Payward Interactive, Inc. runs Kraken's US business.
Kraken says it is on FinCEN's register of money services businesses.
For New York, Kraken holds no NYDFS licence.
You can find the state licences Kraken holds on the licences page.
Has Kraken been hacked? Incidents and enforcement
Every Kraken incident links back to the regulator or company statement it came from.
| Date | What happened | Source |
|---|---|---|
| March 27, 2025 | SEC filed a joint stipulation to dismiss with prejudice its civil enforcement action against Kraken. | sec.gov |
| November 20, 2023 | The SEC charged Payward Ventures Inc. and Payward Inc. (Kraken) with running a securities exchange, a broker, a dealer and a clearing agency without registration. | sec.gov |
| February 9, 2023 | By settling with the SEC, Kraken entities agreed to end US staking-as-a-service and to pay $30 million. | sec.gov |
How your money is kept
Kraken's proof of reserves: accountants provide Proof of Reserves, verifiable in your own account. The June 30, 2026 snapshot shows a BTC reserve ratio of 102.9%, ETH 100.5%, and SOL 100.6%, with USDC/USDT at 105%+. Think of a proof of reserves as an attestation. It isn't a full audit of Kraken.
On custody, Kraken says it uses cold storage plus hot wallets. Its infrastructure sits in guarded, surveilled cages.
For account security, Kraken offers FIDO2 2FA with passkeys. Recovery by phone or SMS isn't offered, and options include a master key and a global settings lock.
Scams that target Kraken users, including text scams
Keep your Kraken password and 2FA code to yourself. If a text or call asks you to move funds to a "safe wallet", don't do it. Contact Kraken only via its app or its website.
Kraken FDIC insurance: does it apply?
Kraken on insurance: the Terms state that neither the account nor digital assets get insurance, FDIC or SIPC protection.
We earn a commission if you open an account through our links. It does not change the fees you pay or our score.
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People's questions
Is Kraken legitimate?
Yes, Kraken is a real business. US customers deal with Payward Interactive, Inc. The 3 dated incidents appear on this page together with their sources.
Is crypto held on Kraken FDIC insured?
The crypto isn't. Kraken on insurance: its Terms say the account and digital assets have no insurance, FDIC or SIPC protection.
What do I do if a Kraken code arrives that I didn't request?
Treat it as a warning sign. If a text or call asks you to move funds to a "safe wallet", don't do it. Keep your Kraken password and 2FA code to yourself. Get to Kraken through its app or its website, and no other way.