Turkey’s Police Have Detained 62 People For A $2B Thodex Exchange Fraud

Thodex is a major cryptocurrency exchange situated in Turkey. It made headlines not just in the crypto community lately but also in the mainstream news channels and media outlets when it was charged with criminal activities, fraud, and illicit transactions.

Thodex has since ceased all trading operations due to the possibility of an exit scam, and the local law enforcement has already arrested and detained over 60 individuals covering eight different provinces. The police have additionally issued and signed detention warrants involving 16 more suspects.

Major bust in Turkey regarding alleged fraud worth $2 billion

The abovementioned exit scam has the potential to affect over 390,000 cryptocurrency exchange users as well as approximately $2 billion in terms of investments. It was only less than 24 hours ago that Thodex had been raided by the police, thus prompting the exchange to stop any and all trading as well as withdrawal operations and activities.

The Istanbul-based office for the chief prosecutor had made it known to the public just yesterday that a probe will be launched for the purpose of investigating Thodex after many users had complained that they could no longer access their respective assets. The situation was worsened following rumors of Faruk Fatih Ozer, the owner of the crypto exchange, fleeing Turkey. It certainly did not help that Ozer had indeed left the country and gone to Albania, although he has since denied all of the allegations levied against him and insists that he only went there to deal with some potential investors and that his reasons for leaving were strictly business-related and nothing else.

Moreover, Ozer also remains adamant in convincing everyone that Thodex is the victim of some kind of ‘smear campaign’ and that the exchange has been targeted by hackers, therefore resulting in a temporary shutdown.

Thodex situation only making things worse for crypto in Turkey

Cryptocurrency has already been prohibited in Turkey, with a new ban set to be put into effect on the 30th of April, later this month. The situation regarding Thodex certainly isn’t going to help matters, as the local government is sure to use it to justify even more rules, restrictions, and regulations regarding crypto in the near future.

The aforementioned ban will prevent users from being able to make payments in crypto. However, trading will still be possible as of right now unless something changes.

Leave a Reply

Your email address will not be published. Required fields are marked *