Crypto platform Knaken tells customers not to file damage claims after shutdown
Customers of crypto platform Knaken remain unable to access their accounts and are still in uncertainty after the company shut down trading following its failure to obtain a required MiCAR license under EU rules. At the same time, Knaken is explicitly asking users not to submit damage claims or individual requests for now, saying it cannot process them during the ongoing wind-down.
The Rotterdam-based company confirmed it has been forced to cease operations after its application for authorization under the Markets in Crypto-Assets Regulation (MiCAR) was not approved. Without this license, Knaken can no longer legally provide crypto services in the EU and must proceed with an orderly liquidation process covering customer holdings.
In communications to users, the company said it is currently receiving a high volume of inquiries about account balances and asset safety but stressed that all questions are being collected and handled collectively rather than individually. “Clients do not need to do anything right now,” Knaken said, adding that it is working to finalize a settlement plan and aims to provide clarity as soon as possible.
Crucially for affected customers, Knaken has told users not to file claims at this stage. “Individual information will only be shared once the method of settlement has been determined. You do not need to file a claim now; every customer will be informed individually in due course,” the company said, indicating that a structured claims or distribution process is expected to follow once the framework is ready.
The firm had continued allowing trading until last week, when it confirmed it could no longer operate without MiCAR approval. The regulation, which governs crypto-asset service providers across the EU and is supervised in the Netherlands by the Authority for the Financial Markets (AFM), sets requirements around governance, IT security, and customer asset protection.
The AFM said most applicants under MiCAR are approved but that rejection occurs when providers fail to meet regulatory standards. In such cases, firms must wind down operations in a controlled manner designed to protect customer interests. The regulator declined to comment specifically on Knaken’s case, citing supervisory confidentiality, but said it is monitoring the situation.
