Kraken briefly locked customer accounts after wallets linked to sanctioned HTX sent thousands of low-value transfers in what was suspected to be a dust attack. The disruption was tied to the exchange's handling of a flood of sanctioned crypto transactions and related compliance controls, rather than an established permanent loss of customer funds. Exchanges screen deposits and withdrawals against sanctions lists and other risk signals, and heavy flagged activity can prompt manual reviews, throttling or account restrictions. Key outstanding questions include the disruption's duration, the number of affected accounts and any changes Kraken will make to prevent a recurrence. BlockchainReporter has previously examined institutional financial systems testing blockchain settlement, but that earlier coverage does not establish a broader market outcome from this incident.