FTX Digital, a cryptocurrency exchange associated with the FTX Group of companies, has been permitted by the Supreme Court of the Commonwealth of The Bahamas to extend the provisional liquidation process until August 9. This decision was taken after their appointment to review the financial situation of FTX Digital and investigate the causes that led to the global collapse of the company.
The court order gives the provisional liquidator the opportunity to identify and protect assets and investigate the potential avenues to maximize the value of the interests of the related parties. As such, the provisional liquidator has requested customers and third-party claim holders who may have claims against FTX Digital to register their contact information. Furthermore, anyone who may be unaware of their situation as a customer or creditor of FTX Digital or any other entity of the FTX Group is also invited to register.
The claims procedure includes the following steps: registration, login creation in the claims portal, authentication, balance acceptance, and asset transfer. At present, the claims process is at the registration stage and it requires customers and creditors to provide their contact information. In addition, those who have already applied for Chapter 11 procedure will not be prevented from registering in the claims site of FTX Digital, or vice versa.
The Securities Commission of The Bahamas (SCB) has decided to transfer all digital assets worth more than $3.5 billion in FTX Digital Markets to digital wallets managed by the commission. This document was released by the SCB in December 2022, and the new measures of the provisional liquidator have been taken in order to protect customers.
In conclusion, FTX Digital and the FTX Group of companies will continue the provisional liquidation process until August 9, while inviting customers and creditors to register their contact information in the claims portal. In doing so, the aim is to identify and safeguard the assets of FTX Digital and maximize value for related parties. The Securities Commission of The Bahamas will on the other hand continue to transfer all digital assets to digital wallets in order to protect customers.
Scarlett Wilson
- 2023-04-21
FTX Digital to Continue Provisional Liquidation Process
FTX Digital and the FTX Group of companies have been permitted by the Supreme Court of the Commonwealth of The Bahamas to extend the provisional liquidation process until August 9. Customers and creditors have been invited to register their contact information in the claims portal for asset protection.
