Kraken Co-Founder Jesse Powell Sues San Francisco Housing Co-Op, Alleges Discrimination Due to Crypto Industry Ties

(CoinChapter.com) — Jesse Powell, co-founder of Kraken, has sued a San Francisco housing co-op, claiming discrimination due to his crypto industry ties.

Jesse Powell, co-founder of cryptocurrency exchange Kraken, has filed a lawsuit against a San Francisco housing co-op, alleging discrimination due to his crypto industry ties.

The complaint, filed on Feb. 5 in San Francisco Superior Court, states that board members at 2500 Steiner Street refused to approve Powell's purchase of a luxury apartment in the building. The board's decision was allegedly based on Powell's cryptocurrency connections, past legal issues, and political donations.

"Frankly, I'm fed up with condescending, elitist bigots unlawfully discriminating against me," Powell posted on X on Feb. 5.

According to Powell's legal team, the board never provided a clear reason for denying his purchase but took steps to prevent the sale from reaching a shareholder vote. The lawsuit claims that crypto executives are facing similar financial restrictions in the United States under current policies.

Powell Alleges Political Bias in Housing Decision

The complaint highlights that 2500 Steiner Street is known for being a residence for San Francisco Democrats. Powell, who is not affiliated with any political party, claims that his $1 million donation in June 2024 to support Donald Trump's presidential bid played a role in the rejection.

The lawsuit specifically names Bruce Golden, a venture capitalist and Accel partner, as leading efforts to block the sale. Powell alleges that Golden, who has donated millions to Democratic organizations, worked to prevent him from buying the multi-million-dollar apartment.

Powell's application to purchase a unit in the 12-unit building was approved by the seller in September 2023, and the purchase was subject to approval from nine out of eleven non-selling members, as per the co-op's rules.

However, the lawsuit alleges that the board took deliberate steps to prevent the vote from taking place. His application was rejected in October, initially without explanation. Later, the board claimed he failed to provide a signed tax return, which Powell says was never listed as a requirement.

The lawsuit references Powell's past legal troubles, including an FBI raid on his home in early 2023. Powell claims that while no charges were filed, the incident contributed to the co-op's rejection. He argues that crypto industry figures have faced similar challenges due to increased scrutiny.

A 3,500-square-foot unit in 2500 Steiner Street is currently listed for nearly $10 million, according to Zillow. Powell argues he provided all necessary financial documents, yet the board still voted against his purchase in November 2023 without explanation.

The lawsuit asks the court to enforce the purchase agreement and grant damages, interest, and legal relief. The management company, Twenty-Five Hundred Steiner Street, Inc., and Bruce Golden have not responded to media inquiries.