Kraken Reports New Withdrawal Problems After Funding Outage
Kraken says it has found the cause, but it has not given a timeline for a fix. Deposits on multiple blockchains were already paused earlier, including Cosmos and Celestia.
Key Takeaways
- Kraken reported withdrawal problems again on Tuesday, its second outage in one day, while trading, the website, and data feeds kept working.
- The company says it found the cause, but gave no timeline, no list of affected coins, and no explanation of the outage.
- The problems add to earlier funding outages, including paused deposits on more than 20 blockchain networks since September 4.
Kraken told customers on Tuesday that withdrawals are getting stuck, the second outage the crypto exchange reported in one day. The company says it has found the cause, but gave no timeline, no list of affected coins, and no explanation of what exactly went wrong.
Funding Keeps Glitching
Kraken uses funding for money moving in and out of the exchange, so for deposits and withdrawals. Trading, the website, and the data feeds kept working. The status page said there was a temporary outage that could briefly delay withdrawals.
According to the status board, 23 of the 725 funding services were marked degraded. A large part of those problems had already been going on for a while. On September 4, Kraken paused deposits on more than 20 blockchain networks. Cosmos and Celestia were among them, and that outage still has not been fixed.
Earlier on Tuesday, Kraken also said account balance histories were outdated. The daily figures have now been restored, but the hourly data is still lagging.
More Pressure on Reliability
The new outage comes at a time when reliability matters even more for Kraken. Last week, BeInCrypto reported that parent company Payward is in talks with Nasdaq and the London Stock Exchange, while its own IPO has been delayed again and is now aimed at 2027. At the same time, Payward is preparing to sell tokenized London stocks to investors in 110 countries.
For institutional clients, the main question is whether money moves on time when they ask it to. A string of funding problems makes that message harder to sell. Kraken has not said whether Tuesday’s issue is separate from the September 4 outage or still tied to it.
Why This Matters
For European crypto investors, this shows how important operational reliability is at a major crypto exchange. Especially now that more companies want to grow through regulated structures, tokenized stocks, and institutional services, any outage around deposits or withdrawals can carry extra weight. It does not say anything yet about the price of individual tokens, but it does say something about trust in the infrastructure that a lot of trading and money flows through.
Kraken’s broader push to offer more traditional markets also plays into that view: the company previously announced that it would add U.S. stocks in Europe, specifically to give customers more than just crypto trading.
