Consumer complaint received 2026-04-22 00:00:00
Product: Money transfer, virtual currency, or money service — Virtual currency
Issue: Confusing or missing disclosures — 
Company: Payward Ventures Inc. dba Kraken
State: CO

Complaint narrative:
I am filing a formal complaint against Kraken ( Payward , Inc. ) regarding the handling of the XXXX token migration on their platform, which resulted in a loss of over {$2400.00} in value through multiple failures of disclosure and duty of care. KRAKEN TICKET NUMBER : # XXXX SUMMARY OF HARM : I purchased XXXX WAR tokens on Kraken on XXXX XXXX XXXX in good faith on a regulated exchange. Following a token migration, I received only XXXX XXXX tokens - a 97.4 % reduction representing a loss of over {$2400.00}. Kraken has refused to substantively address my formal complaint. SPECIFIC FAILURES : 1. INADEQUATE DISCLOSURE AT LISTING Kraken listed WAR for trading on XX/XX/year>- just 14 days before a critical XX/XX/XXXX snapshot that determined 90 % of all new token allocation. Every client who purchased XXXX after the listing date was structurally excluded from the majority of migration value before most had completed their first trade. No disclosure of this imminent snapshot was made at listing. 2. DELIBERATE DECISION TO KEEP TRADING OPEN AFTER PAUSING DEPOSITS Following the XX/XX/XXXX snapshot, Kraken paused WAR deposits on XX/XX/XXXX while simultaneously keeping trading and withdrawals active, continuing to collect trading fees with no on-platform warning to buyers that they were excluded from 90 % of migration value. 3. NO POINT-OF-SALE WARNING DURING 15-DAY WINDOW Kraken had fifteen days between their XX/XX/XXXX migration notification email and the XX/XX/XXXX trading halt to add a warning to the WAR trading interface. No such warning was added. I purchased XXXX XXXX tokens on XXXX XXXX with no indication on the trading platform that a migration was imminent or that the critical snapshot had already passed. 4. PUBLICLY DOCUMENTED INSIDER SELLING IGNORED On XX/XX/year> - XXXX day before the critical snapshot - XXXX XXXX XXXX XXXXXXXX publicly documented that the WAR developer had sold {>= $1,000,000} in tokens while still holding 40 % of supply and had announced a token migration. This was publicly verifiable information that Kraken could have acted on before facilitating the migration. 5. CLIENT FUNDS MIGRATED INTO XXXX CONTRACT WITHOUT CONSENT Kraken automatically migrated client holdings into a pump.fun originated contract ( XXXX ) without explicit client consent or disclosure that the destination token originated from an unvetted meme coin launchpad. 6. KRAKEN KNOWINGLY LISTED A SPECULATIVE MEMECOIN Kraken 's own XX/XX/year> listing blog post described WAR as " a Solana-based memecoin '' yet provided it with the credibility of a major regulated exchange listing without adequate risk disclosure to clients. 7. SYSTEMIC FAILURE AFFECTING MULTIPLE CLIENTS Multiple independent publications documented in XX/XX/year> that this was a widespread failure affecting numerous Kraken clients who raised identical concerns about lack of on-platform warnings and unfair migration terms. 8. FORMAL COMPLAINT IGNORED I submitted a detailed eight-point formal escalation request to Kraken on XX/XX/year> with four supporting exhibits. Kraken 's response failed to address a single one of my eight concerns, instead restating the snapshot mechanics I already understood and closing with " We thank you for your understanding. '' RESOLUTION REQUESTED : I am requesting that the CFPB investigate Kraken 's handling of the WAR token migration, specifically their disclosure practices around token listings with imminent migration snapshots, and their failure to add point-of-sale warnings during an active migration window. I am also requesting a goodwill review of my case for partial or full compensation of the $ XXXX loss I sustained. SUPPORTING DOCUMENTATION AVAILABLE : - Kraken ticket # XXXX and full email correspondence - XXXX post dated XX/XX/year> documenting developer insider selling - Independent news articles dated XX/XX/year> documenting widespread client complaints- XXXX 's own WAR listing blog post dated XX/XX/year> describing WAR as a memecoin - My full trading ledger confirming purchase dates of XXXX XXXX XXXX - Kraken migration emails dated XX/XX/XXXX and XX/XX/year> 2026

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