Kraken Withdrawal Delays Hit 23 Services as Cosmos (ATOM) Deposits Remain Paused

23 of 725 Funding Services Degraded

Kraken told customers on Tuesday that withdrawals were running stuck, marking the second service fault the exchange disclosed within a single day. The notice went live on the company’s status board shortly after 2 p.m. UTC, and COINOTAG reviewed the page as of 14:38 UTC. Kraken confirmed it had identified the underlying cause, but the announcement carried no restoration timeline, no list of affected assets, and no explanation of what technically failed. “We are aware of a temporary hiccup affecting withdrawals, which may be briefly delayed at this time,” the exchange’s status entry stated. For readers unfamiliar with the terminology, “funding” is Kraken’s umbrella term for money moving on and off the platform — deposits and withdrawals alike — as distinct from order matching. Crucially, trading, the website, and Kraken’s market data feeds all stayed fully operational throughout, so the disruption sat entirely in the Bitcoin and altcoin transfer layer rather than the trading engine. The company’s status board classified 23 of its 725 funding services as degraded, though most of those entries predate Tuesday’s notice. Because the exchange has not named the impacted coins or networks, it remains unconfirmed whether the fault touches any particular chain, and customers waiting on outbound transfers currently have only the status page for updates.

Deposit Pause Dates to September 4

Tuesday’s stall did not arrive in a vacuum. On September 4, the exchange paused deposits across more than 20 blockchain networks, and that incident remains formally open. Cosmos (ATOM) — whose hub runs on a delegated proof of stake design that relies on uninterrupted cross-chain channels — and Celestia (TIA) were among the affected networks named by the exchange, with no resolution announced since. Hours before the withdrawal notice, Kraken had separately reported that account balance histories had gone stale; daily figures have since recovered, while hourly figures remain behind. The timing compounds a delicate stretch for the company. Kraken’s parent, Payward, is wiring its market infrastructure into the Nasdaq and the London Stock Exchange, the kind of integration that underpins publicly listed crypto platforms such as Robinhood (HOOD) and Nasdaq-100 ETF-tracked exposure to the sector. Meanwhile, the firm keeps pushing back its own IPO, now targeted for 2027, and is preparing to sell tokenized London-listed stocks to investors across 110 countries. Institutional counterparties typically judge a venue on one question above all: whether money moves when requested. A run of funding faults sits awkwardly against that pitch. Readers tracking the market in real time can follow live spot and futures prices on Binance.

Next Status Update in Focus

The through-line across both incidents is that Kraken’s weakest layer this week is not its matching engine but its money-movement rails, and the exchange’s official status page — the primary record for both faults — still shows the September 4 deposit incident open alongside Tuesday’s degraded services. In our reading, the telling detail is what the notice omits: a cause identified but never explained, and no per-asset breakdown. Until the next update discloses whether Tuesday’s problem is new or another symptom of the September 4 outage, reliability will stay a core screening criterion — the same one we weigh in our guide to the best crypto exchanges for institutional-grade operations.