Dutch prosecutors sell seized Knaken crypto for €2.2 million, covering only a fraction of claims

Dutch prosecutors have sold cryptocurrency seized from the bankrupt trading platform Knaken for 2.2 million euros, a sum that represents the only confirmed money available to cover customer claims estimated at between 10 million and 12 million euros. The sale, confirmed by court-appointed trustee Carl Hamm on August 17, 2026, leaves thousands of customers facing significant losses following the platform's collapse.

A Rotterdam court declared Knaken Cryptohandel B.V. and its related payments foundation bankrupt on July 16, 2026, at the request of the Dutch Public Prosecution Service. The company had already halted operations in early June, locking approximately 6,300 to 30,000 customers out of their accounts. Prosecutors had alleged that roughly 7 million euros in customer funds could not be accounted for, a figure that aligns with the trustee's estimate of the multi-million-euro shortfall.

According to trustee Hamm, the platform's structure meant customers did not directly own cryptocurrency. He explained that when a user deposited money to buy crypto, Knaken would take a fee and use the remainder to open a trading position on an exchange in its own name. Customers saw crypto...