Why did Kraken fail?

Could you elaborate on the reasons behind Kraken's failure? Was it due to a lack of liquidity, a security breach, or regulatory issues? Was the management team unable to adapt to the rapidly changing cryptocurrency market? Did they make any strategic errors that led to their downfall? Was there a lack of transparency or trust among their users? I'm interested in hearing your professional opinion on what went wrong with Kraken and how it could have been prevented.