Crypto Community Is Going Crazy Over Kraken CEO Describing NY AG As An Abusive Controlling Ex
Jesse Powel, the CEO of Kraken, one of the largest crypto exchanges in the world, has recently described New York as an abusive controlling ex that you broke up with a long time ago and it is still throwing shade on your new relationships because it is completely unable to move on.
This reaction was posted on Twitter.
NY is that abusive, controlling ex you broke up with 3 years ago but they keep stalking you, throwing shade on your new relationships, unable to accept that you have happily moved on and are better off without them. #getoverit https://t.co/DC5S1WyRnp
— Jesse Powell (@jespow) September 19, 2018
Thanks to the NY taxpayer for funding this research — saved our Product team a lot of time, and we got some interesting non-public info on our competitors. Excellent overview of issues, and a nice list of 'Questions Customers Should Ask' on pg 32. https://t.co/S5XxopBEyC
— Kraken Exchange (@krakenfx) September 19, 2018
The CEO has made this comparison on social media after it was published that the New York attorney general office alleges that Kraken and two other companies involved in crypto trading are operating in the state without being compliant with the laws of the state.
New York’s attorney general’s office has stated that it was referred to this information by the Department of Financial Services of the state, which is responsible for overseeing all kinds of crypto trading in the city.
Kraken has decided to leave New York after the episode with the BitLicense, just like many other exchanges decided to do at the time that the state imposed them this new law. This controversial regulatory framework was deemed negative for exchanges by many companies, which prompted them to leave the state and to decide that they would be better operating somewhere else.
Even with the company officially leaving the New York state, the government and these entities are still reporting that the exchange may be illegally serving New York traders, which it cannot do due to the state laws.
Kraken has received a questionnaire about its activities are part of the probe by the attorney general’s office and, unlike several other exchanges, it decided to loudly protest against the “audacity” of the questionnaire instead of quietly answering it or simply refusing to do it.
Powell stated that the probe was very insulting and has criticized the other exchanges for submitting to the government’s will and answering the demands. He has also stated that the regulators should show some “basic respect” for the industry in subsequent statements that were published in the site of the company.
The CEO of the company has been very aggressive with regulators more than once and has argued that the crypto traders are not very concerned with market manipulation and that the exchange operator’s stance is alarming and unfair.
According to the attorney’s office, the agency could not review the practices of platforms that did not answer the questionnaire sent by state, like it was the case with Kraken, Gate.io, Huobi and Binance concerning any kind of abusive or manipulative trading.
The office has stated that the position of Kraken, in special, is alarming, though, as the company not only does not seem very concerned with market manipulation but it acknowledges that the crypto market is full of scams and it still does not want to comply with the government.
Who do you think it is right? The CEO of the company or the attorney’s office? Is manipulation a big issue in the crypto industry or only a minor offense? Follow our blog for developments on this situation.