Kraken clients see red after Monday flash crash. Aggrieved investors seek compensation after 66pct wipe-out on #ethereum. Exchange denies liability but makes offers of between 5-50pct of losses
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Hey, Paul. You're right that we don't make markets on the exchange. Trades were all user-user and matching worked as expected. We're coming out of pocket to help some people out for the sake of client retention. Where you'll find the difference is in how people do the math.
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Hi Jesse, thanks for the response. What is your compensation policy then? The people I see discussing this are reporting very different amounts.
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Larger cases are evaluated individually. Smaller cases received an automatic credit. Amounts are based on what they would have received had the price floor been what it was at another venue. Generally, 80-100% of that is credited, combo of cash + fee credits.
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Hey Jesse, thanks for following back. I'm actually in the same boat here and was hit by this flash crash exceptionally hard. I have a support ticket open, and I'm in the process of discussing the settlement offer. Is there an expiration time on the offers?
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I've never been in this kind of situation and also I'm concerned that a dialog could end up with the initial offer rescinded. I'm terrified, to be frank.
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