The Hex (HEX) token fell nearly 30% in the past 24 hours after local media reports of founder Richard Schueler, also known as Richard Heart, being detained by authorities in Istanbul.
The HEX token declined to $0.0006 as of 11:28 am UTC on Thursday, erasing about $160 million from its market capitalization, from more than $500 million on Wednesday to $340 million by press time, according to CoinMarketCap. It previously topped $0.44 in September 2021.
On Wednesday, news outlet Ihlas Haber Ajansı (IHA) reported that Schueler and his wife were detained in Istanbul by Turkish authorities. Police reportedly seized multiple devices, hardware wallets, jewelry and handguns.
The reported arrest comes nearly two years after the world’s largest international police organization, Interpol, issued a “Red Notice” for Schueler for allegedly committing tax fraud and assault, with Finnish authorities seeking his arrest.
A spokesperson for Finland’s National Bureau of Investigations declined to comment on the matter.
Schueler was also listed on Europe’s most wanted fugitives list on similar allegations, claiming that he “physically assaulted a 16-year-old victim by grabbing their hair, dragging them into the stairwell and knocking them to the ground.”
In July 2023, the US Securities and Exchange Commission (SEC) sued Schueler, alleging he raised $1 billion in an unregistered securities offering and misappropriated at least $12 million.
US District Judge Carol Bagley Amon dismissed the case in February 2025, after ruling that the activities were not sufficiently directed at US investors. In April 2025, the SEC said it didn’t intend to refile its securities fraud complaint against Schueler.
Related: Finnish police seize watches worth $2.6M from Hex founder Richard Heart: Report