Payward Files Amended Complaint Alleging $25 Million Fraud by Former Partner Etana

Payward, parent company of crypto exchange Kraken, filed a second amended complaint in U.S. District Court on May 4, 2026, alleging former custody partner Etana and its CEO Dion Brandon Russell operated a Ponzi-like scheme that misappropriated over $25 million in customer reserve funds. The lawsuit accuses the defendants of orchestrating the fraud scheme while serving as Kraken's custody partner.

Amended complaint filing

• ▪Payward filed a second amended complaint on May 4, 2026.
• ▪Payward is the parent company of crypto exchange Kraken.
• ▪Payward's second amended complaint was filed in the U.S. District Court.

Alleged Ponzi-like scheme

• ▪Payward's second amended complaint alleges that Etana and CEO Dion Brandon Russell operated a Ponzi-like scheme.
• ▪Payward's amended lawsuit accuses Etana Custody and CEO Russell of orchestrating a $25 million Ponzi-like fraud scheme.
• ▪Payward's second amended complaint alleges that Etana and CEO Dion Brandon Russell misappropriated over $25 million in customer reserve funds.

Etana custody partnership

• ▪Etana was a former custody partner of Payward.
• ▪Dion Brandon Russell is the CEO of Etana.

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