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Kraken security chief says exchange won’t negotiate as it faces extortion threat

The Block
Kraken's security chief stated the exchange will not negotiate with extortionists threatening to leak client data.

Summary

Kraken's Chief Security Officer, Nick Percoco, revealed that the cryptocurrency exchange is facing an extortion attempt from an unnamed criminal group. The attackers claim to have obtained videos showing Kraken support staff accessing internal client support systems and limited client data, threatening to leak them unless a ransom is paid. Percoco emphasized that no systems were breached, customer funds are secure, and Kraken will not negotiate with the perpetrators. The exchange is cooperating with law enforcement and industry security experts. The videos were reportedly obtained through two incidents where support staff accessed internal systems, with approximately 2,000 accounts potentially viewed. Kraken is contacting affected users and is also involved in broader efforts to combat insider recruitment threats targeting various industries.

(Source:The Block)