FTX Statement from Bahamas: We Secure Customers’ Money!

Bahamas In a statement made by the regulatory agency, FTX Concerns about the safety of assets in its custody prompted the Bahamian regulatory agency to step in.

Bahamas Regulator Holds $3.5 Billion of FTX Client Assets

FTX, cryptocurrency While serving as a stock exchange, it also provided services for hiding the assets of its customers. However, due to concerns over the security of FTX’s assets, regulators in the Bahamas have indicated that they have decided to intervene.

Shortly after FTX filed for bankruptcy, approximately $372 million worth of tokens were stolen from the exchange by an unknown actor thought to be an outside hacker.

Given the media reports of a cyber-attack against FTX and the looting of FTX-controlled wallets by former employees, this step is welcome.

In a press release, the Commission stated that “it has determined that digital assets under FTX custody or control are at risk of imminent disappearance, to the detriment of its customers and creditors.”

According to the statement, the assets will be held until the Supreme Court instructs the Commission to hand them over to the customers and creditors who own them.

The commission said that FTX founders Sam Bankman-Fried and Gary Wang no longer have access to the $3.5 billion transferred tokens.

In a press release, the Commission reiterated that it is not directing FTX to prioritize withdrawals from Bahamas-based customers.

This step of the regulators points to the importance of security in the cryptocurrency industry. It is expected that such measures will continue to be taken in the coming period.

*Not investment advice.