Turkish authorities have blocked Vebitcoin’s onshore bank accounts

Turkish authorities have blocked all onshore bank accounts of cryptocurrency exchanges in the country, state-run Anadolu news agency reported.

Türkiye took the step late Friday, Anadolu Agency reported, just after cryptocurrency exchange Vebitcoin announced it was ceasing operations due to financial problems.

Turkey’s Financial Crimes Investigation Board has launched an investigation into the exchange and its managers.

The move against Vebitcoin comes just one day after Anadolu Agency reported that Turkish police had arrested 62 people in connection with a criminal case against cryptocurrency exchange Thodex. Thodex reportedly ceased operations on April 18, and its CEO has since fled Turkey. Users sued Thodex, accusing it of stealing hundreds of millions of dollars.

April was a month of bad news for Turkey’s cryptocurrency industry. Prior to the Thodex and Vebitcoin incidents, the Turkish central bank announced a ban on the use of cryptocurrencies as a means of payment on April 16.

The ban comes as cryptocurrency usage surges and Turkey's national currency, the lira, faces heavy export pressure.

The lira plunged on foreign exchange markets after President Recep Tayyip Erdogan fired central bank governor Naci Agbal in March.

In order to circumvent the problems of the lira, many people use cryptocurrencies as an alternative means of payment.