FBI Concludes Jesse Powell Investigation
The FBI investigation into Jesse Powell is now closed. The agency did not find anything suspicious about Powell’s crypto dealings nor any criminal activities. The probe, which looked into a dispute involving the nonprofit Powell helped establish—called the Verge Center for the Arts—is now closed, and no charges are being filed. Officials have also returned the electronic devices taken during a 2023 raid on his home.
Allegations Were Unrelated to Crypto
After Verge board members accused Powell of accessing and interfering with the nonprofit’s online accounts, including emails and communications, the FBI began an investigation. Though serious allegations were made, legal documents and Powell’s attorney confirmed the investigation had nothing to do with his role at Kraken or the broader crypto sector.
Prosecutors closed the case, according to a Fortune report, without filing any charges. The devices confiscated from Powell—including laptops and cell phones—were returned, reportedly containing information that supported Powell’s defense.
Powell Responds to FBI Clearance
In response to the outcome, Powell expressed relief, calling the raid “devastating both personally and professionally.” He said the accusations from Verge’s board were baseless and that he will continue his civil suit against board members for defamation and wrongful removal.
For years, Powell has been a notable figure in the crypto world. He was Kraken’s CEO until stepping down last year, though he remains on the board. Recently, Powell drew attention for his political donations, including a donation of $1 million in Ether to Donald Trump’s 2024 presidential campaign. However, there is no official connection between that political activity and the FBI probe.
Kraken’s Regulatory Challenges
Meanwhile, Kraken has faced its own regulatory issues. The SEC had previously accused the firm of operating without registration. That case was dismissed in March, reflecting what many observers see as a broader shift in the SEC’s enforcement approach.
According to Powell, the nonprofit conflict began when board members attempted to sideline him while creating new digital infrastructure and cutting off his access. Legal documentation reportedly supports this claim in the ongoing civil case. He also alleged that board members withheld key evidence during discovery, especially documents related to Phil Cunningham, a board member and attorney for the nonprofit.
Conclusion
With the closing of the FBI investigation, Jesse Powell receives significant relief both personally and professionally. Despite the ongoing legal dispute with Verge’s leadership, Powell appears focused on clearing his name. As Kraken navigates its regulatory landscape and plans for an IPO in 2026, Powell is now working to rebuild his reputation following a highly publicized federal investigation that ultimately found no wrongdoing.
