What happened to Turkey's largest cryptocurrency exchange?

Follow us @crypto for our full coverage. One of Turkey’s largest cryptocurrency exchanges said it lacked the financial strength to continue operations, leaving hundreds of thousands of investors fearing their savings have evaporated as authorities sought to locate the company’s 27-year-old founder, who fled the country.

What happened to thodex?

Thodex abruptly stopped operations about two years ago, leaving tens of thousands of customers with losses. Ozer had disappeared following the collapse of the platform, but was arrested in Albania in August 2022 after Turkey issued an Interpol red notice against him.

How much did thodex lose in 2021?

According to Chainalysis, the value of cryptocurrency lost at Thodex earlier this year was $2.6 billion, making it the largest “rug pull” of 2021. Faruk Fatih Ozer, the former CEO of the collapsed cryptocurrency exchange Thodex, has been extradited from Albania to Turkey to face charges of fraud and money laundering.

Why is thodex so popular in Turkey?

Thodex was part of the cryptocurrency boom that has drawn in legions of Turks seeking to protect their savings from rampant inflation and an unstable currency. Inflation hit 16.2% in March, more than three times the central bank’s target of 5%. The Turkish lira has weakened 10% against the dollar this year, its ninth consecutive year of losses.