FTX logo on laptop screen.
Andrey Rudakov | Bloomberg via Getty Images
Japanese FTX users will be able to start transferring their funds out of the collapsed crypto exchange starting February, according to a statement from the company’s Japanese subsidiary.
FTX Japan said on Thursday that it is developing a system for continued withdrawals through the website of Liquid Japan, a cryptocurrency exchange. bought back earlier this year. Customers will be able to view their balance on Liquid Japan, then withdraw their funds.
“We deeply apologize for causing great concern and inconvenience to our customers due to the long suspension of service,” the company said in Japanese. blog post on its website, translated via Google.
FTX Japan has launched a schedule to recover customer funds, starting with opening a Liquid Japan account in mid-January, then transferring assets from FTX Japan to Liquid Japan, and reopening withdrawals in mid-February.
It comes after FTX Japan said on December 1 that it had confirmed with lawyers for FTX Group that “Japanese customer cash and cryptocurrencies should not be part of the assets of the company.” FTX Japan due to the way these assets are held and the property rights under Japanese law.”
News provides some relief for FTX customers. FTX customers worldwide have not been able to access their funds since the company bankruptcy last month and put a block on withdrawal. FTX’s new director of care, John J. Ray III, has said that the company’s international clients will receive less benefit from bankruptcy court than US customers.
Founded in 2014, Liquid is acquired by FTX in February for an undisclosed amount as part of an expansion into East Asia. Before that, it was hacked more than 90 million USD the value of cryptocurrencies in a major cyber attack. Sam Bankman-Fried’s FTX, which saw itself as the savior of struggling crypto companies, subsequently provided Liquid with $120 million in debt.
Separately on Thursday, the Bahamas Securities Commission said it has $3.5 billion worth of crypto assets seized from FTX “for safekeeping” and is awaiting direction from the country’s Supreme Court to return funds to customers and creditors or to liquidators.