Hex cryptocurrency founder Richard Heart was arrested in Istanbul, Turkey. The Turkish English-language media outlet Daily Sabah, citing a report by the Turkish news agency IHA, said that Istanbul police and Turkey’s National Intelligence Organization (MIT) took action on the morning of October 14 and arrested and detained Heart, whose real name is Richard James Schueler, along with his wife, under an Interpol Red Notice.
The report said that the Intelligence Division and the Financial Crimes Division of the Istanbul Police Department, with support from the National Intelligence Organization, tracked down an internationally wanted fugitive. After confirming that Heart was in Istanbul, they placed his residence under surveillance and took action following technical and on-the-ground monitoring. During a search of the residence, police seized more than ten mobile phones, several laptops, graphics cards, rifles, handguns, two drones, gold bracelets, and large amounts of cash in various currencies.
Finland sought a Red Notice in 2024; accounts differ on the charges
In 2024, Interpol issued a Red Notice for Heart at Finland’s request. Accounts differ on the charges: one Daily Sabah report says he was suspected of tax evasion and assault, while another mentions “large-scale cryptocurrency fraud.” Decrypt reported that the notice listed only one charge—aggravated tax evasion—and that Finnish authorities were separately seeking him in connection with an assault case.
A Red Notice asks law enforcement agencies around the world to locate and provisionally arrest a person pending extradition or other legal proceedings; it is not an international arrest warrant. Decrypt noted that it is currently unclear whether Finland has submitted an extradition request to Turkey.
SEC once accused Hex of raising over $1 billion illegally; case dismissed by court in 2025
Heart launched Hex in 2018, promoting it as a high-yield “blockchain certificate of deposit.” In 2023, the U.S. Securities and Exchange Commission (SEC) sued Heart and Hex, PulseChain, and PulseX, which he controlled, alleging that they had sold unregistered crypto-asset securities and raised more than $1 billion from investors. The SEC also accused Heart of misappropriating at least $12 million to buy sports cars, luxury watches, and a 555-carat black diamond called “The Enigma,” as previously reported.
Decrypt reported that in February 2025, a federal judge dismissed the SEC’s lawsuit for lack of jurisdiction, finding that Heart’s activities were not clearly directed at U.S. investors. The SEC did not amend its complaint by the April deadline, bringing the case to a close. Heart’s lawyer described the outcome at the time as a “complete victory.”
This article, “Hex Founder Richard Heart Arrested in Turkey; Finland Seeks Red Notice,” first appeared on .
【Further Analysis】
【My Further Perspective】
Richard Heart’s apprehension highlights the waning era in which crypto founders could exploit gaps between national legal jurisdictions to evade regulation. Although the U.S. SEC’s civil lawsuit was previously dismissed over jurisdictional issues, Interpol’s Red Notice shows that law enforcement agencies are increasingly turning to cross-border criminal proceedings—such as tax evasion and fraud charges—to pursue high-profile figures in the crypto space. This reflects growing international cooperation on anti-money-laundering and tax compliance, no longer limited by any one country’s securities laws.
【Market Impact】
For the cryptocurrency market, this event is extremely bearish for related tokens such as Hex, PulseChain, and PulseX, as the detention of a central figure could directly undermine community confidence and liquidity. For the broader crypto market, the effect is neutral to mildly positive, while also serving as a warning: it may help accelerate the removal of weaker projects and encourage capital to move toward assets with strong compliance standards and mainstream acceptance. The direct impact on U.S. and Taiwanese stock markets is quite limited, as the incident concerns an individual case in the crypto industry and cross-border legal issues.
【What to Watch Next】
Keep a close watch on whether Turkey formally extradites Richard Heart to Finland, as well as on the details of any subsequent legal proceedings by Finnish authorities. In addition, if European legal proceedings move forward smoothly, they could set a precedent for other countries to launch criminal investigations against him. This will be an important measure of the international community’s ability to coordinate cross-border action against crypto crime.
【Risk Reminder】
Tokens associated with the projects involved may face extreme volatility or even the risk of falling to zero. Investors in non-mainstream crypto assets that rely heavily on personality cults or lack practical applications may suffer significant losses at any time due to regulatory action or legal issues involving their founders.