FTX Japan to Resume Withdrawals
- FTX Japan began operations in June 2022 and was mandated by Japanese law to keep customer funds separate from company assets.
- The Financial Services Agency of Japan announced on November 10, 2022, that it had given FTX the go-ahead to cease activities, including the acceptance of new deposits, and to adhere to a business improvement order.
- Some FTX subsidiaries, including FTX US, are yet to resume withdrawals due to bankruptcy proceedings.
FTX Japan, the Japanese arm of the now-bankrupt exchange, FTX, announced on Monday that customers will be able to withdraw their crypto and fiat currency deposits starting Tuesday, February 21. FTX Japan noted in a release that the withdrawal procedure will be done through Liquid Japan, a cryptocurrency trading platform that FTX bought last spring. The news comes months after FTX Japan halted withdrawals following FTX’s collapse.
FTX Japan noted that it had informed qualified customers of the process of withdrawing their funds which involves setting up an account with Liquid Japan and confirming the balance of their FTX Japan account.
FTX Japan wrote in a post,
We have been preparing for the legal currency withdrawal service and cryptocurrency withdrawal service (hereinafter referred to as “withdrawal/withdrawal service”) from 12:00 on February 21, 2023 (Japan time). We will reopen. Please note that due to the large number of requests from customers, it may take some time for the withdrawal process to be completed. We will announce the resumption of other FTX Japan services as soon as possible.”
Bloomberg reported that FTX Japan held about $94.5 million in cryptocurrencies and $46 million in fiat money as of December 1. While FTX Japan users might wear a smile following the resumption of withdrawals, users who did business with other FTX subsidiaries, such as FTX.US, are still in the dark as the global exchange navigates bankruptcy proceedings in a Delaware court.
Last December, FTX proposed a move to allow the sale of the exchange’s four financially stable subsidiaries to help the exchange raise funds to repay its debts to creditors. These companies were FTX Japan, FTX Europe, Embed Technologies, and LedgerX.
Lawrence has covered some exciting stories in his career as a journalist, he finds blockchain-related stories very intriguing. He believes Web3 will change the world and wants everyone to be a part of it.
