Bahamas Supreme Court Orders FTX To Pay For Regulatory Action

The Securities Commission of The Bahamas has secured an order from the Supreme Court to receive reimbursements for expenses incurred for regulatory action in connection with FTX Digital Markets. The Supreme Court earlier ordered the Commission to safeguard the digital assets of FTX in a digital wallet.

FTX To Reimburse Bahamas Securities Commission

The Securities Commission of The Bahamas in a tweet on November 22 announced receiving approval from the Bahamas Supreme Court to get reimbursement from FTX for securing the digital assets of FTX Digital Markets in a government-controlled digital wallet.

“Securities Commission of The Bahamas secures court order for right of indemnity and reimbursement.”

The Supreme Court last week ordered the Commission to safeguard the digital assets of FTX Digital Markets to protect customers and creditors. The Commission directed the transfer of digital assets to a government-controlled digital wallet.

The new order by the Supreme Court entitled the Commission to a right of indemnity and the right to be reimbursed for expenses incurred with the regulatory action taken to safeguard the digital assets of FTX Digital Markets. Thus, FTX Digital Markets must bear all costs associated with it. Moreover, payments must be made after approval by the Supreme Court.

Meanwhile, the Securities Commission of The Bahamas will continue to coordinate with liquidators to work for the interests of customers and creditors.

“The Commission will hold accountable any companies or individuals found responsible for the violation of any laws administered by the Commission.”

FTX Contagion Tanks Crypto and Risks Bankruptcy for Genesis

FTX contagion has spread to several crypto exchanges and companies, especially Genesis. Barry Silbert’s DCG and Genesis are now looking to raise $500 million in emergency funding. It faced trouble raising $1 billion.

Moreover, Ram Ahluwalia, CEO of Lumida Wealth Management, in an interview explained Genesis is not just facing liquidity issues, but also insolvency. He believes Genesis Lending will file for bankruptcy and Genesis Trading will continue to operate.

Bitcoin and Ethereum prices continue to dive lower, with BTC and ETH trading at $15,727 and $1,087, respectively.

Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a substantial period and is currently covering all the latest updates and developments in the crypto industry.

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