Kraken is a huge octopus/squid-like creature with multiple yellow eyes and a huge mouth with rock-like teeth. On it's tentacles there are some spikes on.
The Kraken is first seen attacking a Norwegian cargo ship located somewhere in the North Atlantic. A few days later, upon Kida's first trip to the surface and Milo's return to the surface along with Vinnie, Mole, and Audrey, the Krakken attacks their ship by bursting through the hatches but is eventually backed away by a grenade. It then almost ate Milo, Obby and Kida when their Sub-pod sank but their friends in their sub pods attacks the beast with numerous missiles fired from their pods. According to Inger Allyson, the innkeeper of a nearby fishing village, their magistrate Edgar Vulgud made a deal with the beast to live forever. The sun in their village hasn't been seen since the beast went loose in the sea nearby. It temporarliy hypnotize Audrey in a attempt to stop Vulgud and tried to crush her but failed when Vinnie blew the ceiling up to distract it. Later it hypnotize Vinnie who almost killed the group using the sub-pods missiles but Mole hit Vinnie with a wrench to make him snap out of it. The Kraken then chased the group until they blew up an abandoned sub-pod that sank earlier. Upon the sub-pod's explosion, the Krakken faded away. Vinnie commented that "Mr. Squid was a little hocus pocus himself. The village was restored to It's normal self.
Hypnosis: The Kraken could put anyone in a trance for its, or Vulgud's service. They best way to undo this is to "distract" the victim by hit them in the head.
Prolonging Life: The Kraken kept Vulgud alive way past his normal lifespan. But when it died Vulgud died too.