KFEE (Kraken Fee) was airdrop from Kraken. It its not tradeable/sellable and only used to reduce trading cost. Hence instead of paying the fees in € you pay them in KFEE.
Other than BNB on Binance, which can be also used to reduce the fee, this KFEE is non tradable, or sellable (not even transferable). In other words it has no inherent values besides reducing fees, like marketing / referral codes.
The using of the KFEE instead of paying in Euro is treated as short term gain and it spams the entire report. Is there a way to deal with it? Worst case i can live with the extra cost, but it looks weird with hundred of entries and is IMHO not really correct.
Tax location: Germany