Japanese Customers’ Cash and Crypto not Part of FTX Japan’s Estate, Will Resume Withdrawals

The Japanese arm of the troubled cryptocurrency exchange FTX is set to resume customer withdrawals after scoring important clarifications with Japan’s Financial Services Authority.

• According to a new release on the official website of FTX Japan, the platform plans to resume withdrawal services ” in the ordinary course.”
• The basis for this decision is an important clarification that the law firm representing the company managed to obtain in the Chapter 11 bankruptcy case.
• Per the report, the cash and cryptocurrency of customers stored on the platform “should not be part of FTX Japan’s estate, given how these assets are held and property interests under Japanese law.”
• In late November, CryptoPotato reported that the Japanese subsidiary of FTX plans to allow client withdrawals by the end of this year.
• The reports mentioned that the company was working on the development of new infrastructure that would allow withdrawals.
• It’s also worth noting that FTX Japan had earlier claimed that they store around $138 million in cash and deposits as of November 10th.