Kraken appoints ex-Paxos exec as new chief legal officer

Crypto exchange Kraken has appointed Ben Gray, former Global General Counsel at Paxos, as its new chief legal officer.

U.S.-based cryptocurrency exchange Kraken has hired Ben Gray as its new chief legal officer to strengthen its legal team. In a blog announcement, the exchange said that Gray will oversee the company’s legal, compliance, and enterprise risk management.

Kraken co-CEO Arjun Sethi says Gray will play a “critical addition” to the exchange’s leadership team as the trading company scales the business.

“His deep experience as a general counsel and chief compliance officer make him an ideal CLO for Kraken, as the industry continues fighting for regulatory clarity and consumer protections.”

Kraken co-CEO Arjun Sethi

Prior to joining Kraken, Gray worked as Global General Counsel at Paxos, a blockchain firm known for issuing stablecoins for PayPal, and has also worked with Binance. His appointment comes at a crucial time for Kraken, which has been under increased scrutiny from regulators.

In 2023, the U.S. Securities and Exchange Commission filed a lawsuit against Kraken, accusing the exchange of illegal securities operations. The SEC claims Kraken operated as a securities exchange without registering with the regulator, accusing it of making hundreds of millions of dollars while disregarding investor protection laws. The SEC also pointed to poor internal controls and commingling clients’ funds with its own. In response, Kraken has argued that any “commingling” was simply to cover earned operating expenses.