In a recent disclosure, cryptocurrency exchange Kraken unveiled startling statistics regarding law enforcement inquiries, shedding light on the significant role played by US agencies in data requests within the crypto sphere.
According to Kraken’s blog post released on Monday, the exchange received a staggering total of 4,923 data requests in 2023, spanning across 69 countries. Notably, the United States emerged as the frontrunner, accounting for the highest number of requests, with the Federal Bureau of Investigation (FBI) leading the charge, comprising over 33% of all inquiries.
Despite constituting a mere 1.8% of the total US agency requests, the US Securities and Exchange Commission (SEC) commanded a substantial share, responsible for nearly 60% of all regulatory agency requests in the country, Kraken revealed.
Moreover, Kraken reported a significant uptick of 33% in combined global law enforcement and regulatory agency requests in 2023 compared to the previous year. Remarkably, the British Virgin Islands and Australia witnessed the largest percentage spikes at 400% and 341%, respectively.
In a similar vein, rival cryptocurrency exchange Coinbase noted an increase in data requests, totaling 13,079 between October 2022 and September 2023. However, Coinbase emphasized that reported figures may not directly correlate with fulfilled requests.
Addressing concerns over data privacy, both Kraken and Coinbase reiterated their commitment to providing information strictly when legally obligated to do so. This disclosure comes amidst heightened scrutiny on cryptocurrency exchanges and their compliance with regulatory frameworks.
The release of these statistics follows revelations by blockchain forensic firm TRM Labs, indicating a substantial success rate in crypto investigations conducted by surveyed organizations, with a notable demand for increased crypto training among law enforcement agencies.
