Or Fireworks Coming?
According to a press release on Feb. 20, FTX Japan, the Japanese subsidiary of troubled cryptocurrency exchange FTX, announced that the withdrawal of users’ fiat currency and crypto assets would commence via the Liquid Japan web platform at 12:00 pm on Feb. 21.
In November 2022, FTX Japan halted operations after its parent firm, FTX, filed for bankruptcy along with its 134 subsidiaries, freezing the assets of an estimated 9 million customers and billions of dollars locked in legal proceedings.
Per FTX Japan, customers who have assets in its accounts would need to confirm their balance and transfer them to their Liquid Japan account. Liquid Japan is a licensed Japanese crypto asset exchange that was acquired by FTX in April 2022. FTX Japan customers who do not have a Liquid Japan account are required to open one before receiving their assets.
“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.”
According to reports, FTX Japan had roughly 19.6 billion yen in cash worth more than $138 million when it ceased operations in November 2022. FTX Japan launched in June 2022 and, by Japanese law, was required to segregate client funds from its assets. On Nov. 10, 2022, the Financial Services Agency of Japan announced it had ordered FTX to suspend business operations, such as accepting new deposits, and to comply with a business improvement order. Due to bankruptcy proceedings, the vast majority of FTX customers, including users of FTX US, are still unable to withdraw their assets.
