Knaken crypto platform bankruptcy exposes hidden €8.6 million shortfall

The Rotterdam District Court published the full judgment in the bankruptcy of Dutch cryptocurrency platform Knaken and its subsidiary Knaken Payments. The ruling shows the company’s financial gap was far larger than previously disclosed, with active customers claiming over €8.6 million, of which €5‑5.5 million was deemed unavailable. A 2020 hack that stole 23 BTC accounts for only a fraction of the loss, and the court noted that the shortfall had been concealed for years.

In a separate case, a Dutch investor who transferred five Bitcoin (about €470 000) to the algorithmic trading service Oxido suffered a loss of roughly €60 000. The investor’s claim was rejected because the lawsuit targeted the wrong foreign entity; the contract was with a paper company in Costa Rica, not the Dutch firm advertised. The court also found no evidence that the investor had been advised to obtain a Palau digital residency ID to bypass regulations.