Kraken Parent Payward Sues PowerTrade Over Alleged $7.2M Misappropriation

According to CoinDesk, Payward, the parent company of Kraken, filed a lawsuit against cryptocurrency derivatives platform PowerTrade and its co-founders in U.S. federal court on June 25, alleging misappropriation of approximately $7.2 million in digital assets and unrealized gains.

Payward claims PowerTrade unilaterally reversed roughly 100 corrective trades to cancel profitable positions that had expired or settled months earlier, shifting its account balance from over $6 million in surplus to approximately $2 million in deficit. The company has obtained a global asset freeze order from the Dubai International Financial Centre Court.