- Advertisement -
The Japanese government has vowed it will do everything it can to protect customers ftxThe Japanese subsidiary of FTX Japan. But the exchange has declared that its clients’ funds are safe.
nikki The nation’s finance minister, Shunichi Suzuki, was quoted as explaining that while regulators had hit FTX Japan with a trading suspension order, the government was taking steps to help the exchange’s customers.
Suzuki was speaking at a news conference held after a cabinet meeting, where he said:
“We need to take every possible measure to ensure that the interests of [FTX Japan] Users are not harmed.”
Regulatory Financial Services Agency (FSA) reacted to the collapse of FTX Japan’s parent company, FTX, by issuing the exchange with a trading suspension order. FTX Japan has also been ordered to submit a business improvement plan by 16 November.
While FTX Japan did not initially halt all trading on its platform, it followed FTX’s decision to halt customer withdrawals.
The FSA soon followed suit with its order. The agency reprimanded FTX Japan for failing to “specify a schedule” for the resumption of withdrawals.
But FTX Japan has the answer announcement on its website So that the money of its customers is safe. The company wrote that it “separately manages client assets” in accordance with “strict rules set forth by the FSA and Japanese law.” It claimed that it had access to an “amount in excess” of the value of the total customers’ assets in custody on cold wallets and trust bank accounts.
While the firm again declined to say when it would resume customer withdrawals, it published a breakdown of its own finances — and the coins held by its customers. The company wrote that it had a net worth of $72.6 million and had $140.2 million worth of clients’ coins and fiat in cold wallets.
FTX Japan: are client’s assets safe?
In an earlier postFTX Japan stated that the FTX Chapter 11 bankruptcy application filed in the United States “includes FTX Japan,” but re-emphasized:
“Assets entrusted to us by our clients are strictly segregated and managed in accordance with Japanese laws and industry regulations, consisting of cryptoassets held in cold wallets and fiat currencies held in trust accounts.”
FTX Japan said it will “notify” customers of the “system restoration status” of its platform – although it appears legal matters in the United States may still slow down the process significantly.