It is possible that Kraken may be forced to freeze some of its customers’ wallets by the police, according to the company’s CEO.
The Canadian government’s decision to freeze bank accounts and crypto wallets used to fund the local COVID-19 protests has alarmed cryptocurrency enthusiasts all over the world.
“Freedom Convoy,” or a series of protests against the mandates and restrictions on the COVID-19 vaccine, has been frozen by Ontario Superior Court Justice Calum MacLeod on Thursday.Bitcoin (BTC) and other assets have been frozen on bank accounts and digital wallets totaling more than $1 million, according to a report by the Toronto Star.
Deputy Prime Minister Chrystia Freeland said Thursday that the RCMP has shared the names of both individuals and entities, as well as crypto wallets, with financial institutions and accounts have been frozen and more accounts will be frozen.
She also argued that FINTRAC “lacked the necessary authorities to oversee the new world of cryptocurrency,” as she put it.
Deputy PM Chrystia Freeland: "The names of both individuals and entities as well as crypto wallets have been shared by the RCMP with financial institutions and accounts have been frozen and more accounts will be frozen." pic.twitter.com/iA69DbRJl1
— True North (@TrueNorthCentre) February 17, 2022
Kraken CEO Jesse Powell, a leading voice in the crypto community, has slammed Canadian authorities for their actions. “Due process is for commoners. In Canada, strength always wins. In the event of dissent, simply seize the wealth, revoke the licences, bar them from the financial system, and put an end to their pets’ lives. “When you have a monopoly on violence, there is no need to debate the law, policy, or even rights,” he wrote on Twitter.
Moreover, Powell expressed concerns about cryptocurrency holders, admitting that Kraken may be forced to freeze assets by police without judicial consent.
100% of the time it’s going to happen, and 100% of the time we’re going to have to do it. Keep your money in an unregulated custodian if you’re concerned. We can’t keep you safe. Only trade p2p with your coins and cash.”
Morgan Creek Digital co-founder and partner Anthony Pompliano noted that the current events in Canada resembled a situation in China, a capitalist dictatorship.
China is freezing dissidents bank accounts and threatening citizens who express their freedom of speech
…oh wait, sorry.
It’s Canada. Not China.
— Pomp 🌪 (@APompliano) February 18, 2022
Also on Twitter, the president of El Salvador, Nayib Bukele, expressed his displeasure with Canadian authorities for causing his country to fall from first place in the “democracy index.” There is no conflict between Ukraine and Russia, says Bukele, because the “real war” against freedom is taking place in countries like Canada.
The real war is not in Ukraine, it’s in Canada, Australia, France, Brussels, England, Germany, Italy…
They just want you to look the other way.
— Nayib Bukele 🇸🇻 (@nayibbukele) February 13, 2022
Trudeau invoked the Emergencies Act Monday, which allowed local authorities to freeze the bank accounts of Freedom Convoy protesters and monitor “large and suspicious transactions,” including crypto, as previously reported.
Crowdfunding platforms and the payment processors they use are now subject to Canada’s Anti-Money Laundering and Anti-Terrorist Financing regulations. FINTRAC announced the change on Tuesday, saying that it applies to all types of transactions, including those involving digital assets like cryptocurrencies.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.