Kraken says its being extorted following bug bounty report

The bug resulted in at least $3 million worth of stolen funds, but no user funds were endangered, according to Kraken.

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Cryptocurrency exchange Kraken has revealed that a research team remains in possession of $3 million worth of digital assets it had appropriated in a recently discovered bug.

An anonymous self-proclaimed ‘security researcher’ found a critical security bug and alerted the cryptocurrency exchange on June 9.

However, two accounts related to the security researcher have exploited the bug to withdraw over $3 million worth of digital assets, according to Nick Percoco, the chief security officer of Kraken.

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