Kraken freezes FTX and Alameda accounts, 'maintains full reserves'

Kraken has frozen accounts owned by FTX Group, Alameda Research and their executives following their filing for Chapter 11 bankruptcy protection.

"Kraken has spoken with law enforcement regarding a handful of accounts owned by the bankrupt FTX Group, Alameda Research and their executives," the U.S.-based crypto exchange tweeted today, adding: "Those accounts have been frozen to protect their creditors."

Kraken added that its other clients' funds are not affected and that it "maintains full reserves."

Kraken's update comes after FTX and Alameda-related companies filed for Chapter 11 bankruptcy protection on Friday. FTX had previously approached Kraken — which claimed no exposure to Alameda Research but held almost 9,000 FTT tokens — about a potential rescue deal.