Dutch court declares crypto platform Knaken bankrupt over missing funds
A Dutch court has declared crypto platform Knaken Cryptohandel BV and its affiliated foundation bankrupt after prosecutors said about 7 million euros in customer assets were missing. The Rotterdam court said bankruptcy was necessary to manage an orderly settlement after Knaken cut off access to its platform and accounts. It found the company lacked enough assets to fully repay users and that customers did not have enough information to know their legal status. The Dutch Public Prosecution Service filed the petition on June 30 after launching a criminal investigation into the missing funds. Around the same time, financial crime investigators raided the company and seized devices and assets. Knaken, founded in Rotterdam in 2017, went offline in early June and was not listed as an authorized crypto service provider in the Netherlands.
