Do you have the correct devices selected under Settings > Audio? The log shows this:
14:45:06.044: WASAPI: Device 'Speakers (Realtek High Definition Audio)' initialized
14:45:06.105: WASAPI: Device 'Speakers (Realtek High Definition Audio)' initialized
14:45:06.163: WASAPI: Device 'Headset Microphone (Razer Kraken 7.1 Chroma)' initialized
The Realtek onboard's output audio device is set twice, and the Kraken is set as the mic. Why is Realtek picked twice? Are you not using the Kraken to listen to game audio as well?