FTX Gets New Deadline To Return Customer Funds In Japan, Here’s Why
FTX Japan News: While investigations against Sam Bankman-Fried on various fronts are intensifying, uncertainty prevails around the customer funds. In a latest, the Federal prosecutors met FTX new chief executive officer John J. Ray III and the company’s bankruptcy lawyers. It is close to a month since the troubled crypto exchange filed for chapter 11 bankruptcy. On the other side, the US Securities and Exchanges Commission (SEC) is also probing whether user funds from FTX US have been misused.
Also Read: SBF Lawyers Fails To Retort Testimony Call; What’s Next?
Japanese Arm Gets Fresh Date To Return User Funds
In a latest, the financial regulators of Japan issued a new deadline for returning customer funds. On Friday, the country’s Kanto Local Finance Bureau extended the order for suspending operations of FTX Japan. The agency extended the deadline by three months citing pending return of user assets. While FTX Japan was to be originally suspended on December 9, the agency assigned March 9, 2023 as the new deadline.
More importantly, the regulatory agency noted that FTX could not return crypto assets in the prescribed time. This means the liquidity crisis continues to drag on not just at the main FTX crypto exchange but also in the Japan arm. In a recent bankruptcy filing, the company said it owed as much as $3 billion to its top 50 creditors. This is besides the millions of small retail investors who had assets in FTX.
Also Read: Binance CEO “CZ” Claims Sam Bankman-Fried Threatened His Team
Meanwhile, the Japanese agency also said trading at FTX Japan continues to be suspended. According to a Reuters report, the exchange is not ready to perform operations currently. Meanwhile, the FTX Token (FTT) price rose significantly on Friday. As of writing, FTT price stands at $1.81, up by a staggering 34.42% in the last 24 hours, according to price tracking platform CoinMarketCap.
Also Read: XRP Price On A Surge As Whales Move 160 Million Token
- Crypto Market Tumbles as Jerome Powell Says December Rate Cut ‘Far From Certain’
- FOMC Meeting: Federal Reserve Lowers Interest Rates by 25 Bps in Second Cut of the Year
- WLF Token Jumps 7% as Former Robinhood Counsel Joins Trump-Backed World Liberty Financial
- Changpeng Zhao “CZ” Warns Investors “Don’t Buy” Golden Statue Meme Coin After 27,000% Surge
- Markets Expect October Fed Rate Cut as Bitcoin Repeats Post-FOMC Pattern
- Ethereum Price Flips BTC in Strategy Shift, Eyes $4500 Level
- Expert Predicts XRP Price to Hit $10 as Elliot Wave, XRPR ETF Inflows Align
- HYPE Price Prediction as 21Shares Files S-1 for Hyperliquid ETF—Can Bulls Push HYPE to $60?
- Bitcoin Price Rally Bound? How the Fed’s Move May Unleash Crypto
- Can ASTER Price Rebound 50% as Whale Activity and Bullish Pattern Align?
- Pi Network Patterns Point to More Gains Despite Manipulation Claims
MEXC