FTX Japan users rejoice as crypto exchange allows total fund withdrawal amidst legal turmoil
On February 21, 2022, users of FTX Japan rejoice as the crypto exchange resumed withdrawals after being halted on November 15, 2022, due to accusations of Sam Bankman-Fried (SBF) misappropriating user funds. This followed a domino effect initiated by SBF’s legal conclusion and the parent company’s halt of all fund withdrawals on November 7, 2022. The withdrawals involved transferring funds from the defunct exchange to a Liquid Japan account. Popular Japanese crypto trader @Whiskey_bonbon_ later confirmed they had successfully withdrawn their funds. Investors worldwide are hoping for the same outcome with their investments in FTX.
Here is a translation of the above tweet: “All payments completed! Honestly, at first, I felt like I had given up. I would like to express my gratitude to the people in FTXJP for their efforts, as they know the part that was really overlooked. Even if you haven’t withdrawn yet, please be patient.”
A day after resuming funds withdrawals, FTX Japan confirmed that approximately $50 million (6.6 billion yen) had been withdrawn from Liquid Global. Although one community member responded with congratulations on the outcome, many are still waiting for the completion of their refunds. The reimbursement process is expected to take some time due to the sheer number of users impacted by the FTX-SBF incident. Despite this, several community members have confirmed that total payments have been received, giving hope to FTX investors watching worldwide.
A federal judge has issued a superseding indictment against SBF, containing twelve criminal counts, further bolstering the accusations against them.
The U.S. Attorney Damian Williams has brought eight charges of conspiracy to commit fraud and four charges of wire fraud and securities fraud against Bankman-Fried LLC (SBF). A criminal trial regarding the charges is scheduled to commence in October in federal court. A bankruptcy case filed by FTX is currently ongoing in the U.S. Bankruptcy Court for the District of Delaware.
