Kraken CEO Advises Crypto Users To Ditch Centralized Exchanges

The protests in Canada and the subsequent turn to cryptocurrencies to fund protesters continue to rage on. Prime Minister Justin Trudeau recently evoked the Canada Emergencies, which has had serious ramifications for some of the protesters. As the Canadian government prepares to freeze accounts said to belong to protesters in the Freedom Convoy, CEO of Kraken Jesse Powell, has advised investors to keep their funds off centralized exchanges.

Kraken CEO Blasting The Government

Jess Powell reacted to a video posted on True North where Deputy Prime Minister Chrystia Freeland admitted that crypto accounts reported by the RCMP had been frozen, revealing that more will be frozen. The PM also said that accounts were being frozen according to regulations that have been provided to financial service providers who will take action according to these regulations.

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Powell who is the co-founder and CEO of crypto exchange Kraken replied condemning the actions that have been taken by the government in regards to the protestors. He fires at the judicial system which has taken to stripping people of their assets when they go against the government.

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“Due process is for plebs. Might makes right in Canada,” Powell said. “If someone dissents, you just confiscate their wealth, revoke their licenses, exclude them from the financial system and kill their pets. No need to debate the law, policy or even rights when you have a monopoly on violence.”

Take Your Crypto Off Centralized Exchanges

The CEO also gave advice to crypto users on keeping their holdings safe. Responding to another Twitter user who said that the crypto exchange could also be put in a position where they would have to freeze assets without judicial consent, Powell responded in the affirmative.

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Given that the CEO runs a centralized exchange, they are required to carry out Know Your Customer (KYC) procedures and are bound under the law. This means that if they were to be ordered by government agencies to freeze the assets of individuals or entities, they would have no choice but to do so. Given this, Powell advises that users keep their crypto off centralized exchanges and use peer-to-peer trading systems to effectively protect themselves and their assets.

Cryptocurrencies are still not legal in Canada, although they are not banned either. The country’s central bank, the Bank of Canada, has however been experimenting with digital currencies (CBDCs) but nothing tangible has been announced with regards to this project.

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