FTX Japan Announces Mid-February Timeline For Resuming Customer Withdrawals

Customers with trading accounts in defunct cryptocurrency exchange FTX’s Japan subsidiary will be able to withdraw their funds starting in mid-February. 

FTX Japan on Thursday released a timeline for the resumption of withdrawals for its customers after initially halting services on Nov. 8.

In a blog post, the company stated that users will first be emailed a link to open a “Liquid Japan” account, wherein users will be able to check their balance and transfer assets from FTX Japan to Liquid Japan.

As part of the next step, withdrawal services from Liquid Japan will resume.

Starting mid-January, FTX Japan will start contacting customers, and from February mid onward, withdrawal services will resume, according to the company.

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Timeline May Change, FTX Warns

The company warned the timeline schedule may change depending on the progress of an external security audit.

About $94.5 million in crypto assets and $46 million worth of fiat money are held in designated client accounts by FTX Japan K.K.

The company's founder Sam Bankman-Fried is now facing criminal charges for his role in the collapse of his crypto empire, which has left investors facing billions of dollars in potential losses.

FTX has faced scrutiny due to its ties to Washington, as Bankman-Fried was a major donor to the Democratic Party and his former lieutenant Ryan Salame was a significant donor to the Republican Party.

A highly concentrated stake in self-issued FTT FTT/USD tokens which Bankman-Fried's hedge fund Alameda Research used as collateral for billions in cryptocurrency loans, accelerated the fall of FTX.

When rival exchange Binance said it would sell its holding in FTT, there was a significant outflow of money.

A few days later, the company filed for bankruptcy.

Next: White House Visitor Logs Reveal Meetings Between Sam Bankman-Fried, Biden Advisers

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