Crypto Exchange Kraken Settles Case With US Treasury Over Serving Customers in Iran

Kraken has agreed to pay $362,159 to settle its potential liability for violating U.S. sanctions.

AccessTimeIconNov 28, 2022 at 6:59 p.m. UTC
Updated Nov 29, 2022 at 2:27 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) has reached a settlement with crypto exchange Kraken over serving customers in Iran, OFAC said in a statement Monday.

Kraken agreed to pay $362,159 to settle its potential civil liability for apparent violations of sanctions against Iran. Kraken also agreed to invest $100,000 in implementing additional sanctions compliance controls.

According to OFAC, Kraken failed to implement appropriate geolocation tools, including an automated internet protocol (IP) address blocking system, allowing customers in Iran to perform transaction on Kraken’s platform.

Marco Santori, chief legal officer at Kraken, told CoinDesk via email that “Kraken is pleased to have resolved this matter, which we discovered, voluntarily self-reported and swiftly corrected."

Santori added that “even before entering into this resolution, Kraken had taken a series of steps to bolster our compliance measures. This includes further strengthening control systems, expanding our compliance team and enhancing training and accountability.”

UPDATE (Nov. 28: 19:20 UTC): Added comment from Kraken.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Nelson Wang

Nelson Wang was CoinDesk's news editor for the East Coast. He holds BTC and ETH above CoinDesk's disclosure threshold of $1,000.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.