Consumer complaint received 2023-01-23
Company: Payward Ventures Inc. dba Kraken
Product: Money transfer, virtual currency, or money service
Sub-product: Virtual currency
Issue: Other transaction problem

Complaint:
I tried to log into my crypto account with Kraken on XXXX XXXX XXXXXXXX and i couldnt log in, i received a message saying " credentials dont match our records ''. I didn't understand this as i knew i entered the correct user id and password, but i tried to reset both just to be sure, however i did not get a reset email back so i could not proceed. 

I called the Kraken help line and they said that they would manually send me an email reset, but still i didn't receive anything. They told me that they would escalate the problem. 
I looked on the Internet to see if i could find out why i wasnt receiving the email and i found information saying check on my email account to see if there are any filters. So i went into my email and a thief had put a filter on there saying " any messages received containing the word " kraken '' delete immediately. There was also a separate note saying forward any emails received to XXXX XXXX The thief then asked kraken for my user id which they happily gave without making sufficient security checks, then with my id they asked for a password reset, which again kraken allowed without making security checks. It did not seem suspicious to kraken that my registered account is in XXXX and the request for my id and password reset was made from XXXX! ( Kraken sent me an email telling me the ip address that had been used to ask for my personal information and from where the funds were withdrawn, the police traced this to XXXX ). In addition to this i used to use a fingerprint biometric check to get into my account, which had disappeared. 
As the thief had reset my password this is why i could not get into my account. I had to go through more thorough security checks with kraken before they restored access to my account and once in there i could see that someone had converted my XXXX XXXX  crypto into XXXX  and then withdrawn it on XXXX XXXXXXXX XXXX. 
All of this was told to Kraken, but their help desk said they can't do anything as they have limited access, but they would escalate to their specialist team that would look into the situation. I was issued with a ticket number XXXX which they have marked as " sorted ''. They said if you want to progress this then go to law enforcement, which i did. I reported the above to action fraud and an officer XXXX XXXX XXXX  called me to tell me that he would look into the case. XXXX XXXX gave me a crime number XXXX and told me that after some investigation that the theft took place from XXXX. 
My complaint is based upon Kraken taking my money onto their exchange ( it has only been there for about 3 weeks ) and giving my id to a thief and allowing that thief to do a password reset and ultimately gain access to my account and withdraw my funds without taking essential security steps and verification, even though suspicion should have been high due to the different address locations. Their attitude throughout has been " not interested ''.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation