Payward Inc., the parent company behind crypto exchange Kraken, has filed a lawsuit against crypto derivatives platform PowerTrade, alleging the firm misappropriated roughly $7 million. The legal action marks the second major fund-recovery lawsuit Payward has launched in recent months, following a separate complaint involving even larger sums.
What we know about the dispute
The details of the complaint remain thin in public view. No court filings have surfaced with granular allegations about how the $7 million was allegedly misappropriated, or over what timeframe the conduct is said to have occurred.
What is clear is the relationship between the two parties. PowerTrade and Kraken entities were not strangers. The derivatives platform participated in Copper’s ClearLoop settlement network alongside Kraken MTF as recently as mid-2024, a setup designed to let institutional traders settle trades without moving assets to a centralized exchange.
Neither PowerTrade nor Payward has issued public statements elaborating on the dispute. No regulatory actions tied to the case have been reported.
