The crypto intelligence firm, Arkham Intelligence, which was once regarded as a reputable player in the industry, is now under scrutiny following a damning report released by whistleblower platform Crypto Leaks. The report accuses the company of exploiting vulnerabilities at major exchanges, such as Binance and FTX, to uncover users’ personal information. These allegations have raised serious concerns about Arkham’s business practices, privacy violations, and potential securities violations.
The heart of the Crypto Leaks report revolves around video testimony provided by an individual identified simply as ‘Kevin.’ In the video, Kevin claims to be a former engineer at Arkham and alleges that the company utilized “backdoor” exploits at Binance and FTX to link exchange users to their private cryptocurrency wallets. According to his testimony, Arkham’s CTO, Henry Fisher, requested Kevin to create multiple accounts in his name to bypass Anti-Money Laundering (AML) and Know Your Customer (KYC) restrictions on account creation.
As part of our investigation into the Crypt Leaks report, we were able to identify an individual on LinkedIn named “Kevin.” This individual’s LinkedIn profile aligns with the information provided in the report, showcasing a role at Arkham Intelligence between June 2022 and October 2022, labeled as “Confidential.” While this information adds some credibility to Kevin’s claims, it is important to note that his identity and actual affiliation with Arkham have not been independently verified by CryptoSlate at this time.
Arkham Intelligence openly promotes its technology to deanonymize blockchain transactions and connect addresses to real-world identities. Nevertheless, the company adamantly insists that it operates within legal boundaries by utilizing publicly available data. If the accusations made by Kevin and corroborated by the Crypto Leaks report are validated, it would expose Arkham’s misleading representation of its practices, ultimately eroding the trust placed in the firm.
In addition to the exchange hacking claims, the Crypto Leaks report levels broader accusations against Arkham Intelligence, including securities violations, “cult-like” management practices, and unethical behaviors unrelated to the exploit of exchanges. While these allegations present a deeply unsettling image of the company, it is important to note that they contain fewer specific details than the exchange-related claims.
The troubling allegations made by Crypto Leaks against Arkham Intelligence necessitate further investigation by regulators and exchanges, including Binance and FTX. The potential privacy violations, securities violations, and unethical practices outlined in the report cannot be dismissed lightly. The reputation and integrity of the entire cryptocurrency industry are at stake, making it essential for appropriate authorities to delve into these matters thoroughly.
The allegations against Arkham Intelligence, brought to light by the Crypto Leaks report, have cast a dark shadow over the company. The exploitation of vulnerabilities at major exchanges, potential privacy violations, and broader accusations of unethical behavior create a significant challenge for the credibility and trustworthiness of the firm. Moving forward, it is imperative that regulators and exchanges take these allegations seriously and conduct a thorough investigation to safeguard the integrity of the industry.
