FTX Japan resumes fiat and crypto withdrawals today

[Ndabagi01]

The well-known cryptocurrency exchange FTX went bankrupt in November 2022. Since then, the case has taken several twists and turns. While the rest of the community is still waiting for their funds to be returned, the Japanese branch of the exchange will resume crypto and fiat withdrawals.

According to a recent statement, FTX's Japanese subsidiary announced that withdrawals would begin at noon in Tokyo.

Customers will be able to withdraw funds through the Liquid Japan platform. FTX acquired Liquid Japan, a locally licensed cryptocurrency exchange, in April 2022.

How FTX will handle out the withdrawal process:

To withdraw assets from FTX Japan, users must first open an account with Liquid Japan, assuming they do not already have one. The details of the procedure were emailed to all eligible clients by FTX's Japanese subsidiary.

They must then confirm the balance on their FTX Japan account.

In addition, the exchange issued a warning. A large number of customers filing withdrawal requests may cause the withdrawal process to become overburdened. The statement was as follows:

“In addition, when resuming the withdrawal and delivery service, it may take some time for our company to process due to the concentration of requests from a large number of customers. Thank you for your understanding. We will inform you about the resumption of other services of FTX Japan at a later time.”

This is a positive development for customers who have suffered significant financial losses as a result of FTX's bankruptcy. Customers who traded with FTX.US are still waiting to hear what will happen while the exchange continues its bankruptcy process. Japan's regulators were praised for passing stringent laws to protect its investors so quickly.


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[NeuroticFish]

Customers who traded with FTX.US are still waiting to hear what will happen while the exchange continues its bankruptcy process. Japan's regulators were praised for passing stringent laws to protect its investors so quickly.

While people around the world have higher hopes now on getting their money back, it's important to make it clear that Japan is a rather unique situation: there FTX had to insure their operations in order to get the license to operate. That insurance is what pays now the customers' money, not FTX.

PS: In my topic in Press about FTX withdrawals in Japan I seem to have better source for the news.

[Darker45]

Customers who traded with FTX.US are still waiting to hear what will happen while the exchange continues its bankruptcy process. Japan's regulators were praised for passing stringent laws to protect its investors so quickly.

While people around the world have higher hopes now on getting their money back, it's important to make it clear that Japan is a rather unique situation: there FTX had to insure their operations in order to get the license to operate. That insurance is what pays now the customers' money, not FTX.

PS: In my topic in Press about FTX withdrawals in Japan I seem to have better source for the news.

Exactly! So FTX shouldn't be getting any merit from this. This isn't about the FTX brand; this is about Japan's stricter crypto regulations. Not to mention that FTX Japan was more or less independent and very young. It was just launched in the middle of 2022, if I'm not mistaken. Many might have misconstrued the news because of the headlines. The headlines are giving more emphasis on FTX Japan and users getting refunds. But the truth is that it's Japan's regulators and policies that actually saved the day for the FTX users there.

[Woodie]

At least they get to do something positive after their unexpected disruption of service.

But looking at how things have turned out, could this move also get their customers to write off all the wrongs done by FTX Because if you connect the dots this kind of looks calculated and they waited for the dust to settle before they emerged trying to look like heros  

They must then confirm the balance on their FTX Japan account.

Great news for all FTX customers  

But what happens if you can't recall how much is sitting in your account after this long wait to have access to your coins

“In addition, when resuming the withdrawal and delivery service, it may take some time for our company to process due to the concentration of requests from a large number of customers. Thank you for your understanding. We will inform you about the resumption of other services of FTX Japan at a later time.”

You can't dictate rules when you are owing people... And the panic from the clients is their doing because they do not know when next this withdraw opening will come, better to get it done once and for all for one's peace of mind!

[sunsilk]

They must then confirm the balance on their FTX Japan account.

Great news for all FTX customers  

It's good news solely for Japan FTX customers and not entirely for all FTX users in different regions.

Customers who traded with FTX.US are still waiting to hear what will happen while the exchange continues its bankruptcy process. Japan's regulators were praised for passing stringent laws to protect its investors so quickly.

While people around the world have higher hopes now on getting their money back, it's important to make it clear that Japan is a rather unique situation: there FTX had to insure their operations in order to get the license to operate. That insurance is what pays now the customers' money, not FTX.

PS: In my topic in Press about FTX withdrawals in Japan I seem to have better source for the news.

Thanks for this explanation because it's making it look like that FTX is the one acting on it but it's the insurance that covers all the damages that this debacle made by FTX.

Still, great thing for the customers from Japan that have been affected by this mess.

[Darker45]

At least they get to do something positive after their unexpected disruption of service.

But looking at how things have turned out, could this move also get their customers to write off all the wrongs done by FTX Because if you connect the dots this kind of looks calculated and they waited for the dust to settle before they emerged trying to look like heros  

Again, this is not FTX doing something positive. This is Japan doing something positive, for the safety and security of its crypto users. Japan has regulatory mechanisms that protect its citizens from the dangers and risks involved with the likes of FTX.

The customers should be aware of this, lest they might indeed "write off all the wrongs done by FTX." But there are no dots to connect. This opening of withdrawal was already planned and scheduled as early as December of last year. And no thanks to FTX or SBF. Credits go to Japanese regulators.

[Woodie]

Again, this is not FTX doing something positive. This is Japan doing something positive, for the safety and security of its crypto users.

Wait a second, you make it sound like FTX Japan was state owned to have a hand in this latest development that has benefited Ftx clients. .. I understand they might have been regulated there, but are they state run?? And if the state had a hand in all this are business in Japan free to run a business there way  

Japan has regulatory mechanisms that protect its citizens from the dangers and risks involved with the likes of FTX.

Am now interested to learn more of how crypto businesses survive, and from the sound of this, did you just describe an authoritarian govt of which I believe Japan isn't...

The customers should be aware of this, lest they might indeed "write off all the wrongs done by FTX." But there are no dots to connect. This opening of withdrawal was already planned and scheduled as early as December of last year. And no thanks to FTX or SBF. Credits go to Japanese regulators.

But FTX isn't only in Japan are you also saying other branches of the company are doing the same of allowing clients to withdraw their aledged lost funds.

[rat03gopoh]

I understand they might have been regulated there, but are they Am now interested to learn more of how crypto businesses survive, and from the sound of this, did you just describe an authoritarian govt of which I believe Japan isn't...

Japan has learned a lot from its dark experience with MTgox. It seems their rules apply to all crypto industries that wanna do business in that country. If the Japanese market has a large enough revenue contribution, no matter how strict the rules don't reduce the company's interest in doing business in a healthy manner and usually it will be sustainable.

[Rikafip]

I understand they might have been regulated there, but are they state run?? And if the state had a hand in all this are business in Japan free to run a business there way  

Of course FTX Japan isn't state run, its just that in order to get the license there they had to obey their laws, one of which is to insure the funds so in case something happens, users are protected. So you either do that, or you don't operate crypto exchange in Japan.

But FTX isn't only in Japan are you also saying other branches of the company are doing the same of allowing clients to withdraw their aledged lost funds.

Nope, because other branches weren't registered in countries that enforce such strict rules in order to operate.

[Smack That Ace]

Again, this is not FTX doing something positive. This is Japan doing something positive, for the safety and security of its crypto users.

Wait a second, you make it sound like FTX Japan was state owned to have a hand in this latest development that has benefited Ftx clients. .. I understand they might have been regulated there, but are they state run?? And if the state had a hand in all this are business in Japan free to run a business there way  

Japan has regulatory mechanisms that protect its citizens from the dangers and risks involved with the likes of FTX.

Am now interested to learn more of how crypto businesses survive, and from the sound of this, did you just describe an authoritarian govt of which I believe Japan isn't...

The customers should be aware of this, lest they might indeed "write off all the wrongs done by FTX." But there are no dots to connect. This opening of withdrawal was already planned and scheduled as early as December of last year. And no thanks to FTX or SBF. Credits go to Japanese regulators.

But FTX isn't only in Japan are you also saying other branches of the company are doing the same of allowing clients to withdraw their aledged lost funds.

Do not be surprised by this news because Japan is famous for its strict regulations to protect their citizens' rights, any business that wants to operate must register for a business license. As far as I know, FTX only has a business license in the US, Japan, and the Bahamas, so it will not be surprising that users of these 3 countries will be refunded in the near future. But for users all over the world, FTX has no obligation to pay those debts, everything depends only on their kindness.

[Darker45]

Again, this is not FTX doing something positive. This is Japan doing something positive, for the safety and security of its crypto users.

Wait a second, you make it sound like FTX Japan was state owned to have a hand in this latest development that has benefited Ftx clients. .. I understand they might have been regulated there, but are they state run?? And if the state had a hand in all this are business in Japan free to run a business there way  

Of course, FTX Japan isn't state-owned but they're strictly obliged to toe the line. They're free but within certain strict regulations. It's either strict compliance or they won't get the registration from the authorities and they won't be allowed to operate. I agree that the resumption of withdrawal a few months after the bankruptcy is largely a "fruit of their strict crypto laws."^[1]

Japan has regulatory mechanisms that protect its citizens from the dangers and risks involved with the likes of FTX.

Am now interested to learn more of how crypto businesses survive, and from the sound of this, did you just describe an authoritarian govt of which I believe Japan isn't...

I don't think you need to be an authoritarian government to mandate crypto companies to be registered with the Financial Services Agency (FSA), "introduced laws requiring exchanges to register with authorities and mandating that they keep their customers’ money separate from their own accounts," require exchanges to "hold at least 95% of customers’ digital assets in a cold wallet," require them to "entrust clients’ holdings of government-issued currencies such as the yen or the dollar to a third-party Japanese institution such as a trust bank," among others.^[2]

The customers should be aware of this, lest they might indeed "write off all the wrongs done by FTX." But there are no dots to connect. This opening of withdrawal was already planned and scheduled as early as December of last year. And no thanks to FTX or SBF. Credits go to Japanese regulators.

But FTX isn't only in Japan are you also saying other branches of the company are doing the same of allowing clients to withdraw their aledged lost funds.

This is exclusive to FTX Japan users. That's why I'm saying that what's happening with FTX Japan isn't FTX doing its thing; it's Japan doing its thing. FTX doesn't deserve a credit for it. Users of other branches of FTX are not as fortunate. Not only will they receive their funds late or god knows when, they would also recover only a portion. Even those Japanese who are using different FTX platforms other than FTX Japan won't be recovering their losses soon. SBF himself has acknowledged that FTX US should emulate what FTX Japan is doing.

[1] https://www.wsj.com/articles/some-ftx-customers-get-their-money-backin-japan-at-least-3e0f2d15
[2] Ibid.

[yhiaali3]

Yes everyone has heard this happy news about FTX Japan, users in Japan are lucky because they have some very strict regulations around such incidents.

In any case, the amounts that will be distributed are not very large and will not erase the bad reputation of FTX, users need to follow some strict instructions to prove their identity and they also need to wait for some time, in the end this matter is promising and I hope that things will go well and not get worse because there is a lot of chaos In such circumstances.

[Taskford]

Yes everyone has heard this happy news about FTX Japan, users in Japan are lucky because they have some very strict regulations around such incidents.

In any case, the amounts that will be distributed are not very large and will not erase the bad reputation of FTX, users need to follow some strict instructions to prove their identity and they also need to wait for some time, in the end this matter is promising and I hope that things will go well and not get worse because there is a lot of chaos In such circumstances.

It will not erase since this controversy is very huge and even if they resume those withdrawals again still people will not trust them again if they also resume their service. Many people are done with FTX and good japanese have opportunity to pull out their money on that exchange, hopefully it will also happen to other country so that many can get back their  money because of this issue.

[hugeblack]

Customers who traded with FTX.US are still waiting to hear what will happen while the exchange continues its bankruptcy process. Japan's regulators were praised for passing stringent laws to protect its investors so quickly.

While people around the world have higher hopes now on getting their money back, it's important to make it clear that Japan is a rather unique situation: there FTX had to insure their operations in order to get the license to operate. That insurance is what pays now the customers' money, not FTX.

PS: In my topic in Press about FTX withdrawals in Japan I seem to have better source for the news.

f there is any refund of the funds, this is another evidence that the weakness of the legislative regulations in the countries is what made these companies waste the money of depositors, and then this catastrophic scenario of bankruptcy.
In general, if countries set clear legislation for centralized platforms, this is better for everyone, given that they require verification of identity, but it will make the market a little centralized, especially in terms of price.

[Odusko]

While the FTX customers in Japan are getting the refund from the insurance companies other customers of the exchange in the united states are getting just high hopes, this is because the Japanese regulations for licenses have them FTX under insurance so while FTX is bankrupt, the insurance company is getting the customers reimbursed.
So kudo to the insurance for getting the back of the exchange users who have balance in their accounts before the crisis.

[Nwada001]

While the FTX customers in Japan are getting the refund from the insurance companies other customers of the exchange in the united states are getting just high hopes, this is because the Japanese regulations for licenses have them FTX under insurance so while FTX is bankrupt, the insurance company is getting the customers reimbursed.
So kudo to the insurance for getting the back of the exchange users who have balance in their accounts before the crisis.

I don't think this is based on the Japanese license policy; it might also be part of it, but I strongly believe it's just part of the insurance policy and agreement that is being reached between the client and the insurance company. Maybe the insurance was openly listed that it's all to be used in paying back all their Japanese investors and customers if the exchange ever experienced any form of attack or filed bankruptcy; those funds deposited in the insurance account should be used to repay their customers.

The US customer and other countries are not under the same insurance; the exchange is insured, but the terms are different. I believe those in the US and other regions hope to recover their lost and misused funds on the exchange. Their insurance didn't cover up the customers deposits, but it's only their responsibility to cover up for their investors, whose investment safety is always their primary priority more than that of the customers who are making that money for them.