Dutch prosecutors seek bankruptcy for crypto platform Knaken
Dutch prosecutors asked a Rotterdam court to declare Knaken bankrupt after it went offline in early June, leaving about 30,000 customers locked out. FIOD searched sites and seized devices; no arrests.
The Public Prosecution Service filed papers in Rotterdam asking a court to declare Knaken Cryptohandel and affiliated Stichting Knaken Payments bankrupt in the public interest. The platform stopped operating in early June and roughly 30,000 customers have been unable to access their accounts.
The filing states the petition aims to protect customers who cannot reach their holdings and to address what appears to be a disorderly wind-down. Knaken allowed users to exchange euros for cryptocurrencies, to trade and to store digital assets.
Under the EU Markets in Crypto-Assets rules, platforms that exchange, custody or trade crypto must hold a license from the Dutch markets regulator, the AFM. Knaken did not obtain that authorization.
A separate criminal investigation by the Fiscal Information and Investigation Service (FIOD) began after the AFM raised concerns and filed a complaint. On Monday FIOD investigators searched company locations and seized laptops, phones and other corporate assets. No arrests were made. The civil bankruptcy action and the criminal probe are being handled by separate teams.
If the court approves bankruptcy, a court-appointed trustee would take control of Knaken’s records and assets and decide what, if any, funds can be returned to customers and other creditors. The prosecution will not take part in the trustee’s decisions.
The filing notes the platform stopped making payouts and instructed customers not to submit damage claims during the wind-down. Knaken has announced it halted operations and is winding down.
Knaken had sponsorship ties with Dutch football clubs including Ajax, Feyenoord and Sparta Rotterdam; some partnerships ended before the platform went offline. In its 2024 annual accounts the company described itself as financially vulnerable.
The MiCA transition period ends on July 1. After that date platforms serving EU customers must hold a MiCA license valid across EU member states. About 200 firms have secured full authorization so far. The Netherlands ended its own national grace period earlier.
The Rotterdam court will rule on the bankruptcy petition and the FIOD inquiry continues. The court decision and the outcome of the criminal investigation will determine whether customers can recover funds and whether legal charges follow.
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