Knaken bought crypto in its own name, so customers own a euro claim and not the coins

Dutch prosecutors sold the cryptocurrency seized from collapsed platform Knaken for €2.2 million, or about $2.5 million, court-appointed trustee Carl Hamm said.

Thousands of customers who deposited an estimated €10 million to €12 million could face heavy losses.

The only money in the estate so far

Hamm, the Rotterdam trustee supervising the wind-down, said he is still looking to see if cash is elsewhere, if anyone owes Knaken money, and if other assets can be sold.

Beyond the customers, he said, there are hardly any other creditors, aside from a possible slice of unpaid payroll tax.

Hamm wrote to about 6,300 people who recently held a position with the firm. He warned them not to expect to get much back.

His estimate that Knaken saw €10 million to €12 million from customers is more than the sale brought in, suggesting a hole of several million euros.

In July, Cryptopolitan reported that prosecutors estimated the missing sum to be around €7 million and the customer base to be around 30,000 users.

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