Dutch Court Declares Crypto Platform Knaken Bankrupt Amid Missing Customer Funds

A Dutch court has declared cryptocurrency platform Knaken Cryptohandel and its affiliated foundation bankrupt after prosecutors revealed that approximately 7 million euros in customer assets could not be accounted for. The Rotterdam court said bankruptcy proceedings were necessary to ensure an orderly resolution after the platform blocked users from accessing their accounts.

Insufficient Assets to Repay Users

According to the court, Knaken does not have enough remaining assets to fully reimburse its customers, and users currently lack sufficient information to understand their legal standing regarding their funds. The bankruptcy petition was filed by the Dutch Public Prosecution Service on June 30, following the opening of a criminal investigation into the missing money. Authorities also raided the company’s offices in late June, seizing devices and assets as part of the probe.

Platform Was Not Authorized Under EU Crypto Rules

Founded in Rotterdam in 2017, Knaken went offline in early June and does not appear on the list of authorized crypto-asset service providers maintained by the Dutch Authority for the Financial Markets. Regulators noted that enforcement action against unauthorized crypto platforms had already increased after the Netherlands closed its transition period under the EU’s Markets in Crypto Assets regulation on June 30, 2025, ahead of the broader EU-wide deadline.