Türkiye launched an investigation on Samuel Bankman-Fried, former CEO of cryptocurrency exchange FTX, over fraud allegations, the country's Treasury and Finance Ministry announced on Wednesday.

Turkish authorities also seized the assets of Bankman-Fried and other affiliates amid the investigation.

Treasury and Finance Minister Nureddin Nebati said the probe was launched by the country's Financial Crimes Investigation Board (MASAK).

Underlining the risks that digitalization has brought along with opportunities, Nebati said the cryptocurrency market should be approached with "maximum caution."

FTX, which was the world's third-largest cryptocurrency exchange by daily trading volume, filed for bankruptcy earlier this month due to liquidity struggles.

While Bankman-Fried later apologized to investors in a series of tweets, cryptocurrencies have since been in freefall due to the financial turmoil and perceived risks of investors.

The price of Bitcoin dove below $16,000 two weeks ago, giving up all gains of the past two years, while the crypto market lost more than 20% in value in the last two days amid the meltdown.