By CentBit.Online – Crypto & Blockchain Expert, Bangladesh
The FBI and U.S. Department of Justice have officially ended their two-year investigation into Kraken co-founder and former CEO Jesse Powell. All electronic devices seized during a 2023 raid were returned, and no criminal charges were filed. The probe, which traced back to allegations of hacking and cyberstalking related to the non-profit Verge Center for the Arts, has been formally closed. The Block+15Fortune+15crypto.news+15
Case Recap
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Accusations: Powell was alleged to have illegally accessed Verge’s digital systems and stalked board members following his removal from the organization he co-founded crypto.news+3Cryptopolitan+3Crypto Briefing+3.
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Raid: FBI agents executed simultaneous raids on his Los Angeles residence in March 2022, seizing laptops, phones, and other devices CoinCentral+5Crypto Briefing+5Crypto Economy+5.
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Investigation Drop: Following DOJ review, authorities concluded the allegations were unrelated to Powell’s role at Kraken and returned all property Techmeme+11Cryptopolitan+11TradingView+11.
Powell’s Perspective & Next Steps
Powell and his legal counsel celebrated the closure as a vindication, affirming that the probe was based on “baseless accusations” that had severely impacted his personal and professional life crypto.newsMitrade. He continues to pursue a civil lawsuit against Verge’s board for defamation and wrongful board removal CoinGape+8Cryptopolitan+8Crypto Briefing+8.
Significance for Crypto & Bangladesh
This case underscores several key takeaways:
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Clarity on crypto vs. personal conduct: Powell’s legal issue stemmed from non-crypto activity, reinforcing that regulatory scrutiny should remain focused on business practices.
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Resilience of exchange operations: Kraken continued product expansion and IPO planning during the investigation, showing institutional strength.
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Reputation management: Clearing the investigation helps restore confidence in Powell and Kraken—critical as crypto firms seek legitimacy in regulated markets.
For Bangladesh, this outcome highlights the importance of fair legal processes for crypto entrepreneurs. Targeting operational wrongdoing rather than personal disputes supports healthier industry growth and investor confidence.
Final Thoughts
The decision by the FBI and DOJ to close the case without charges marks a positive moment for Kraken and its founder. As the exchange continues its growth trajectory, this resolution sends a strong message: crypto leadership should not be derailed by unrelated legal disputes.
Stay updated with CentBit.Online for in-depth coverage of crypto policies, legal developments, and their implications for Bangladesh’s evolving digital finance ecosystem.
