Kraken to suspend Plaid withdrawals and deposits via ACH Silvergate

Major cryptocurrency exchange Kraken is experiencing difficulties with its automated clearing house (ACH)-related withdrawal and deposit channels through Silvergate.

Kraken has reportedly notified users that it will no longer be able to support ACH deposits and withdrawals starting March 27. According to several online reports by alleged Kraken users, Kraken sent an email notification with the announcement on March 22.

In its statement, Kraken specified that users will no longer be able to see deposit options through Plaid or withdrawal options through ACH Silvergate starting March 27. .

Kraken has advised users to look at other funding options available to ensure a seamless funding experience, including MVB Bank for Fedwire deposits and withdrawals as well as other instant purchase options.

“Our team is working to make ACH funding available again as soon as possible,” Kraken said.

Silvergate was one of the crypto-friendly US banks that collapsed in early March along with other lenders like Silicon Valley Bank. These events pose a major challenge to the cryptocurrency industry as many crypto companies have significant exposure to banks.

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Kraken is one of the world’s largest cryptocurrency exchanges at the time of writing, trading more than $1 billion a day, according to data from CoinGecko. In 2019, Kraken joined the Silvergate Exchange Network, which allows the company to offer US dollar deposits and withdrawals from Silvergate accounts.

Kraken is not the only crypto exchange forced to stop ACH deposits and withdrawals through Silvergate. On March 2, the exchange founded by the Winklevoss Gemini brothers also stopped accepting customer deposits and processing withdrawals through Silvergate ACH and wire transfers.

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