> This does not mean Kraken is invulnerable. It's just not vulnerable to the vulnerability that killed FTX. FTX could have borrowed using these assets as colla

> This does not mean Kraken is invulnerable. It's just not vulnerable to the vulnerability that killed FTX. FTX could have borrowed using these assets as collateral, and the result would have been very similar, but FTX could have posted a proof of reserves. You're right that the court would have had more freedom to act, though. In any case, the news about the supposed hack may make the argument moot.