Crypto exchange bankruptcies (Thodex 2021, FTX 2022) have caused billions of dollars in losses.
Typical Bankruptcy Scenarios
- Manager running away with client money (Thodex)
- Excessive borrowing + lack of risk management (FTX)
- Post-hack bankruptcy (Mt Gox)
- Regulatory intervention
Rights of the Victim
- Complaint to the public prosecutor's office (TCK art. 158/1-f, fraud)
- Issuing a credit to the bankruptcy estate
- Commercial court of first instance
- International lawsuit for foreign stock exchange
KVHS Regulation in Türkiye
- CMB license as of 2025 Mandatory
- Minimum capital
- Segregation of customer assets
- Insurance obligation
- User protection in case of bankruptcy
Overseas Stock Exchange
- Turkish citizen can open an account in foreign stock exchange
- In case of bankruptcy, the law of that country applies
- It is very difficult to file a lawsuit
- Collection is limited
Preventive Precautions
- Prefer licensed exchanges
- Transfer large assets to cold wallet
- Do not keep multiple assets in a single exchange
- 2FA and security measures
Supreme Court 23. CD and 19. HD
23. CD adopts that crypto exchange managers will be punished for "abuse of trust" and "qualified fraud", while the 19th HD adopts that aggrieved users can file a joint lawsuit.
Crypto and commercial law lawyer is recommended.