Worldwide crypto exchange business ‘Kraken’ expresses disappointment at AFP operation with identical name

A worldwide cryptocurrency exchange business has hit out at the AFP after its major criminal investigation was given the same name.

A worldwide cryptocurrency exchange organisation has expressed their disappointment with the Australian Federal Police after they chose to name a national investigation into a criminal encrypted communications app the same name as their business.

Kraken, which operates out of the US, was founded in 2011, and is one of the world’s longest standing cryptocurrency platforms.

However, a Kraken spokesman told The Advertiser they were “disappointed” to learn the AFP investigation into the criminal communications app ‘Ghost’ had been given an identical name.

Last month, the AFP revealed Operation Kraken, which involved raids across Australia, led to multiple arrests, including two in South Australia so far.

A Henley Beach man was charged over his alleged role in a criminal syndicate suspected of drug trafficking and money laundering activities under AFP Operation Kraken. Picture: Australian Federal Police

“Ghost” had been operating for nine years and was used by outlaw motorcycle gangs including the Hells Angels, Mongols, Comancheros and Finks as well as Middle Eastern organised crime gangs, Italian organised crime syndicates and Korean organised crime gangs.

Since March, AFP technical experts found a way to infiltrate the platform and have allegedly uncovered at least 50 threats to kill or harm and uncovered other violent crimes, money laundering and drug trafficking.

More than 700 AFP officers have conducted raids across Australia, as well as Ireland, Italy, Sweden and Canada.

But, a spokesman from Kraken – the crypto business, not the Operation – said it was a “disappointing” name for the investigation.

“We’re disappointed by this operation’s codename, which has absolutely nothing to do with our brand,” the spokesman said.

“Kraken is one of the world’s longest-standing crypto platforms and a leading operation in the Australian crypto ecosystem.

“We have an established reputation for robust security, expert client services, and a commitment to regulatory compliance.”

When questioned about the name of the operation, the AFP declined to reveal why they chose it as the national name, but confirmed the business was not involved.

Jack Sauer, the first South Australian arrested, and charged following a nationwide Operation Kraken. Picture: Supplied

Sahand Sabermanesh, 39, is the second South Australian charged with drug offences over the encrypted ‘Ghost’ app sting. Picture: 7NEWS

“Operation Kraken was an investigation into a dedicated encrypted communications platform,” an AFP spokeswoman said.

“This company has not been the subject of any Operation Kraken investigations.”

Two men, Jack Sauer and Sahand Sabermanesh, the only two people who have been arrested in South Australia over the operation so far.

Mr Sabermanesh has been charged with trafficking a large commercial quantity of a controlled drug.

Mr Sauer appeared in the Adelaide Magistrates Court on Wednesday after being charged with one count each of supporting a criminal organisation and dealing in proceeds of crime, money or property worth more than $100,000.

Mr Sabermanesh was last week released on bail, and it is expected that Mr Sauer will soon make an argument to be released from custody on bail.

Originally published as Worldwide crypto exchange business ‘Kraken’ expresses disappointment at AFP operation with identical name