The FBI emerged as the most proactive among U.S. agencies, accounting for over 33% of the total requests.
Kraken, one of the leading cryptocurrency exchanges, revealed it had received a substantial increase in data requests in 2023. Among the key findings, the company disclosed that 28.2% of these requests originated from U.S. law enforcement agencies, marking a substantial portion of the total inquiries.
Kraken Received Nearly 5,000 Inquiries
Kraken, serving a vast clientele exceeding nine million across 190 countries, disclosed that it fielded 4,923 data requests in 2023, marking a significant uptick from previous years.
The company also asserted that it adheres to strict policies and procedures to ensure that data disclosures align with applicable laws and regulations.
The requests came from various levels of government, including federal, state, and local entities, with law enforcement agencies being the ones that predominantly sought information. The most common types of requests involved investigative matters, with regulatory bodies also playing a significant role.
The Federal Bureau of Investigation (FBI) maintained its dominant position, accounting for 33.1% of U.S. agency requests, indicating a sustained focus on cryptocurrency-related investigations.
Despite constituting only 1.8% of overall U.S. agency requests, the Securities and Exchange Commission (SEC) played a significant role, representing nearly 60% of regulatory agency requests in the country.
70% Surge in Global Requests
The report also highlighted an increase in both global law enforcement and regulatory agency requests compared to the previous year. Global regulatory agency requests surged by 70%, indicating heightened scrutiny and oversight in the cryptocurrency sector.
Kraken disclosed that it fulfilled data requests for 51% of the inquiries it received, providing information on a total of 6,110 accounts. Notably, a significant portion of these accounts were associated with users in the United States, Germany, and the United Kingdom.
Kraken also revealed increases in data requests from certain jurisdictions, with the British Virgin Islands and Australia recording percentage increases of 400% and 341%, respectively.