Thodex Founder Faruk Özer Partially Released in Fraud Case.
Istanbul court partially released Thodex founder Faruk Fatih Özer on January 30, 2025, dropping charges of leading a criminal organization due to insufficient evidence. However, he remains detained for aggravated fraud tied to the 2021 collapse of his crypto exchange, which stranded 400,000 users and $2 billion in assets. Özer fled Turkey post-collapse, was arrested in Albania in 2022, extradited in 2023, and previously received an 11,196-year sentence for fraud and money laundering.
The court distinguished between organizational charges and financial misconduct, citing lack of proof for a criminal network. Defense lawyer Sevgi Erarslan welcomed the dismissal, emphasizing presumption of innocence, but acknowledged the gravity of ongoing fraud allegations. She cautioned against media speculation undermining fair trial rights.
The case exposed regulatory gaps in Turkey’s crypto market, eroding public trust and spurring stricter oversight. Many victims still seek restitution through lawsuits, highlighting challenges in prosecuting opaque digital currency crimes.
Upcoming trials will focus on proving systematic fraud, with experts noting complexities in tracing crypto transactions. The case underscores the balance between accountability and due process in high-stakes financial crimes, shaping debates on global crypto regulation.
