FTX is back in Japan, where users can withdraw fiat and crypto
(2023/02/21)
- Reference: 1676965507
- News link: https://www.theregister.co.uk/2023/02/21/ftx_japan_users_can_now/
- Source link:
FTX's Japan outpost announced on Monday it would once again allow withdraw of both fiat and crypto assets, beginning at noon local time on Tuesday.
Customers must have or open a Liquid Japan account to transfer assets. Liquid Japan is a crypto trading platform acquired by FTX in February 2022.
The [1]announcement makes good on a January [2]promise to allow the withdraw of assets this month.
[3]
Japanese customers of failed crypto exchange FTX are the first to have the chance to access their assets following the company’s spectacular crash.
[4]
[5]
Japan's comprehensively regulated cryptocurrency sector is the reason they're able to do so: the country’s laws require crypto exchange companies to register with the Financial Services Agency, demonstrate anti-money laundering laws, set aside capital reserves, and separate customer and exchange assets.
However the sudden [6]collapse of FTX saw the Japanese operation's employees [7]lose access to the systems required to distribute the funds.
[8]India to lead drive for global crypto regulations to bust money laundering
[9]Country that still uses fax machines wants to lead the world on data standards at G7
[10]FTX boss Sam Bankman-Fried pleads not guilty on eight charges
[11]FTX Japan would let customers withdraw funds … if only anyone could log in
FTX Japan has posted weekly updates advising of its asset holdings, apologising for its systems being offline, and promising to restore service.
That promise has now been fulfilled, although tweets such as [12]this one suggest that while withdrawals are possible, transaction history records may be incomplete.
[13]
Prior to filing for bankruptcy in November, FTX promoted itself as a safe and secure crypto investment service. At one point the company was valued at $32 billion.
The company’s downfall came after it secretly transferred – or loaned- around $10 billion in customer funds to related entity Alameda Research, which blew the dough while trying to defend some tricky trading positions.
The two companies, Alameda Research and FTX, were supposed to have been operated separately.
[14]
Founder Sam Bankman-Fried, by this time residing in the Bahamas, was eventually [15]arrested. He has since [16]pleaded not guilty on eight criminal charges related to wire fraud, money laundering, violating campaign finance laws and more. He is scheduled to stand trial in October.
Bankman-Fried’s spokesman [17]reportedly said the founder was “happy to see that the Japanese exchange is moving forward, and continues to maintain that the US entity can and should do the same as soon as possible.”
Japan’s ability to protect its consumers from huge losses could serve as a template for other nations looking to protect its citizens and economy.
India's finance minister Nirmala Sitharaman [18]said in October 2022 the nation would use its role in the G20 group of nations to push for multilateral regulations of cryptocurrency while the Monetary Authority of Singapore (MAS) has promised to be “brutal and unrelentingly hard” on dodgy industry players.
This week, Hong Kong has [19]proposed regulations to hold virtual asset platform operators to the same legal standards as security brokers and automated trading venues. ®
Get our [20]Tech Resources
[1] https://help-jp.ftx.com/hc/ja/articles/15765489546393
[2] https://www.theregister.com/2023/01/31/ftx_japan_february_withdrawals_planned/
[3] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[6] https://www.theregister.com/2022/11/15/ftx_collapse_cryptocurrency/
[7] https://www.theregister.com/2022/12/06/ftx_japan_tech_failure/
[8] https://www.theregister.com/2022/10/19/india_crypto_aml_global_regulation/
[9] https://www.theregister.com/2022/11/15/japan_g7_data_standards/
[10] https://www.theregister.com/2023/01/05/ftx_cryptocurrency_not_guilty/
[11] https://www.theregister.com/2022/12/06/ftx_japan_tech_failure/
[12] https://twitter.com/TBF_crypto/status/1627907589421043712
[13] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[14] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[15] https://www.theregister.com/2022/12/13/sbf_arrested/
[16] https://www.theregister.com/2023/01/05/ftx_cryptocurrency_not_guilty/
[17] https://www.bloomberg.com/news/articles/2023-02-21/ftx-unit-in-japan-becomes-first-to-resume-customer-withdrawals
[18] https://www.theregister.com/2022/10/19/india_crypto_aml_global_regulation/
[19] https://www.theregister.com/2023/02/21/hong_kong_to_regulate_cryptocurrency/
[20] https://whitepapers.theregister.com/
Customers must have or open a Liquid Japan account to transfer assets. Liquid Japan is a crypto trading platform acquired by FTX in February 2022.
The [1]announcement makes good on a January [2]promise to allow the withdraw of assets this month.
[3]
Japanese customers of failed crypto exchange FTX are the first to have the chance to access their assets following the company’s spectacular crash.
[4]
[5]
Japan's comprehensively regulated cryptocurrency sector is the reason they're able to do so: the country’s laws require crypto exchange companies to register with the Financial Services Agency, demonstrate anti-money laundering laws, set aside capital reserves, and separate customer and exchange assets.
However the sudden [6]collapse of FTX saw the Japanese operation's employees [7]lose access to the systems required to distribute the funds.
[8]India to lead drive for global crypto regulations to bust money laundering
[9]Country that still uses fax machines wants to lead the world on data standards at G7
[10]FTX boss Sam Bankman-Fried pleads not guilty on eight charges
[11]FTX Japan would let customers withdraw funds … if only anyone could log in
FTX Japan has posted weekly updates advising of its asset holdings, apologising for its systems being offline, and promising to restore service.
That promise has now been fulfilled, although tweets such as [12]this one suggest that while withdrawals are possible, transaction history records may be incomplete.
[13]
Prior to filing for bankruptcy in November, FTX promoted itself as a safe and secure crypto investment service. At one point the company was valued at $32 billion.
The company’s downfall came after it secretly transferred – or loaned- around $10 billion in customer funds to related entity Alameda Research, which blew the dough while trying to defend some tricky trading positions.
The two companies, Alameda Research and FTX, were supposed to have been operated separately.
[14]
Founder Sam Bankman-Fried, by this time residing in the Bahamas, was eventually [15]arrested. He has since [16]pleaded not guilty on eight criminal charges related to wire fraud, money laundering, violating campaign finance laws and more. He is scheduled to stand trial in October.
Bankman-Fried’s spokesman [17]reportedly said the founder was “happy to see that the Japanese exchange is moving forward, and continues to maintain that the US entity can and should do the same as soon as possible.”
Japan’s ability to protect its consumers from huge losses could serve as a template for other nations looking to protect its citizens and economy.
India's finance minister Nirmala Sitharaman [18]said in October 2022 the nation would use its role in the G20 group of nations to push for multilateral regulations of cryptocurrency while the Monetary Authority of Singapore (MAS) has promised to be “brutal and unrelentingly hard” on dodgy industry players.
This week, Hong Kong has [19]proposed regulations to hold virtual asset platform operators to the same legal standards as security brokers and automated trading venues. ®
Get our [20]Tech Resources
[1] https://help-jp.ftx.com/hc/ja/articles/15765489546393
[2] https://www.theregister.com/2023/01/31/ftx_japan_february_withdrawals_planned/
[3] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[6] https://www.theregister.com/2022/11/15/ftx_collapse_cryptocurrency/
[7] https://www.theregister.com/2022/12/06/ftx_japan_tech_failure/
[8] https://www.theregister.com/2022/10/19/india_crypto_aml_global_regulation/
[9] https://www.theregister.com/2022/11/15/japan_g7_data_standards/
[10] https://www.theregister.com/2023/01/05/ftx_cryptocurrency_not_guilty/
[11] https://www.theregister.com/2022/12/06/ftx_japan_tech_failure/
[12] https://twitter.com/TBF_crypto/status/1627907589421043712
[13] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[14] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Y-SkUOzfCHtUhQINr67E1QAAAME&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[15] https://www.theregister.com/2022/12/13/sbf_arrested/
[16] https://www.theregister.com/2023/01/05/ftx_cryptocurrency_not_guilty/
[17] https://www.bloomberg.com/news/articles/2023-02-21/ftx-unit-in-japan-becomes-first-to-resume-customer-withdrawals
[18] https://www.theregister.com/2022/10/19/india_crypto_aml_global_regulation/
[19] https://www.theregister.com/2023/02/21/hong_kong_to_regulate_cryptocurrency/
[20] https://whitepapers.theregister.com/
Re: "Japan’s ability to protect its consumers from huge losses"
keithpeter
Yes, it will be interesting to see how it goes. According to the OA, the Japanese company was required to keep customer funds separate and has been posting updates on the total holdings. The issue appears to have been access to detailed transaction history.
If the result looks OK perhaps we should copy/paste the regulations?
Icon: not an investor
Re: "Japan’s ability to protect its consumers from huge losses"
AMBxx
It's just an old fashioned 'run on a bank'. Northern Rock and many more have been here before.
Nothing new under the sun.
Korev
FTX is back in Japan, where users can withdraw fiat
How on all earth do you take a car out of a bank?
Neil Barnes
The same way you got it in - through the plate glass.
Don't you remember all those robberies back in the day?
Mockup1974
I for one got a loan to buy my Dogecoin call options and secured it with my 1990 Fiat Panda. FTX sold it as part of an ABS (asset-backed security) to the Alameda hedge fund. I don't think I'll get the car back, but with ULEZ expanding it's worthless now anyway.
Well personally...
Dabooka
I'd rather have kept the '99 Panda, especially if it were the amazing 4x4 Sisley
"comprehensively regulated cryptocurrency sector"
Pascal Monett
Ah. So it's not a free-for-all sticking it to The Man being largely taken advantage of by completely unscrupulous individuals.
Geez, maybe having regulations is not such a bad thing after all . . .
"Japan’s ability to protect its consumers from huge losses"
Whoa there! Let's wait and see what actually happens when literally everyone tries to remove all their assets at the same time.