Kraken Says HTX-Linked Wallet Sent Nearly 12,000 Crypto Transfers in ‘Dust Attack’

Kraken has restored access to customer accounts restricted after small cryptocurrency transfers were traced to an address that blockchain analytics firm Arkham Intelligence associates with HTX, Bloomberg reported.

The crypto exchange described the activity as a “dust attack” that may have been designed to distribute sanctioned funds and prompt compliance reviews at other platforms.

Nearly 12,000 small transfers were sent from the wallet to Kraken-linked addresses between Aug. 17 and Aug. 24, with most transactions valued at only a few cents or dollars. Kraken continues to hold the sanctioned funds. 

Meanwhile, HTX rejected responsibility for the transactions, adding that it was examining whether they stemmed from incorrect wallet attribution or deliberate activity by an outside actor.

Source: Bloomberg