Bahamas regulator takes custody of $3,5 billion in FTX deposits

The assets will be held until the country’s Supreme Court orders their transfer to the bankrupt exchange’s customers and creditors

30.12.2022 - 11:00

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The Bahamian Securities Commission has taken custody of FTX deposits valued at more than $3.5 billion as of Nov. 12, according to a media release published late Thursday by the BSC.

Shortly after FTX filed for bankruptcy, about $372 million worth of tokens were stolen from the exchange by an unknown actor thought to be an external hacker. Given media reports of a cyberattack on FTX, and possible looting of FTX-controlled wallets by former employees, the Commission said in its media statement it "determined that there was a significant risk of imminent dissipation as to the digital assets under the custody or control of [FTX] to the prejudice of its customers and creditors."

Assets will be held until the Bahamas Supreme Court directs the Commission to deliver them to the customers and creditors who own them, the statement says.

The Commission said that FTX founders Sam Bankman-Fried and Gary Wang no longer had access to the $3.5 billion in tokens that were transferred.

In the media statement, the Commission reiterated that it did not direct FTX to prioritize the withdrawals of Bahamas-based clients.

This material is taken from the website coindesk.com.

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