Knaken Crypto Sale Generates €2.2 Million for Creditors Amid Customer Uncertainty
The Dutch Public Prosecution Service has sold the remaining cryptocurrency held by the bankrupt crypto platform Knaken for €2.2 million, generating funds to pay off creditors.
The sale was made according to Article 117 of the Dutch Code of Criminal Procedure, which allows the sale of seized goods that are subject to depreciation due to their unpredictable value.
Rotterdam trustee Carl Hamm estimated that around 6,300 customers invested between €10 million and €12 million through Knaken, but many believed they owned the cryptocurrency themselves, when in fact it belonged to Knaken.
Knaken owner Ronald J. disputed Hamm's statement, saying 'I don't recognize the amount, and I can't pay it,' and claimed that every order placed via Knaken was executed at a liquidity provider and documented with an order ID and timestamp.