Founders of Turkish Cryptocurrency Arrested After Investigation
Turkish officials have been investigating a company known as Hipper, which is based in Instanbul, after its founders attempted to make a run for it with millions of dollars in their pockets. Turcoin, the currency created by the company, has been the subject of an ongoing investigation by authorities under suspicions of fraud.
The company’s founders, Sadun Kaya and Muhammed Satiroğlu, were among five of the suspects arrested by authorities- three others were released shortly after the arrest. As authorities around the world continue applying pressure on illegal and criminal cryptocurrency-related activities, the investigation comes as no surprise given how Turcoin publicly portrayed itself.
Turcoin’s founders wanted the digital asset to act as an alternative to the country’s national currency. Suspicions of malicious activities were raised after Turncoin’s public display of excessive and intense spending- which included massive parties and showering newcomers in costly gifts.
After Hipper stopped paying out bonuses to those involved in the scheme, incoming calls from around the world hit their offices in Turkey.
Customers and investors alike made pointless calls to an empty office, since by then the founders had already made off with almost twenty-two million U.S. dollars. The amount of money stolen by them came from around ten thousand user without them knowing.
Both founders were apprehended and released on probation before being arrested and sentenced.