Federal authorities have quietly ended their investigation into Jesse Powell, co-founder of cryptocurrency exchange Kraken, and returned electronic devices seized during a 2023 search of his home, according to a report by Fortune.
The probe stemmed from allegations that Powell had unlawfully accessed and harassed staff at Verge Center for the Arts, a nonprofit he helped launch in 2008.
The case was reportedly unrelated to Kraken or Powell’s crypto dealings. Though under investigation since 2022, Powell denied any wrongdoing and later filed a civil suit against members of Verge’s board.
The Department of Justice did not publicly explain its decision to end the case.
The dropped probe comes after Powell’s political emergence during the 2024 election, including a $1 million ETH donation to Donald Trump’s campaign. Trump appointees now lead the FBI and DOJ.
Meanwhile, Kraken itself had faced legal scrutiny last year, with the SEC accusing it of operating without proper registration. That case was later dismissed under Acting Chair Mark Uyeda as part of a broader retreat from enforcement-heavy tactics toward crypto regulation.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/fbi-closes-investigation-into-kraken-co-founder-jesse-powell/