While FTX customers around the world patiently await the legal completion of Sam Bankman-Fried (SBF) in hopes of getting their investments back, FTX Japan users have started withdrawing all their funds.
On November 7, 2022, crypto exchange FTX and its affiliates stopped all fund withdrawals after SBF was accused of misusing user funds. The domino effect forced Liquid Group — a Japanese cryptocurrency trading platform owned by FTX since February 2022 — to stop withdrawals on November 15, 2022.
However, to the delight of some investors, FTX Japan resumed withdrawals on February 21 — which included transferring funds from the inactive exchange to a Liquid Japan account. Days later, a popular cryptocurrency trader from Japan @Whiskey_bonbon_ confirmed that he had successfully withdrawn all his funds.
上的出金全部!
At first, I didn’t say that I was right
In FTXJP, I know a lot of people who know it
Even those who don’t have 出金 are welcome pic.twitter.com/34v7MFznLC— Hibiki＠Trader (@Whiskey_bonbon_) February 25, 2023
A rough translation of the tweet above reads:
“All payments completed! To be honest, at first, I felt like I had given up. I would like to express my gratitude to the people at FTXJP for their efforts, as they know the piece that has really been overlooked.”
Just a day after resuming capital withdrawals, FTX Japan revealed that around $50 million (¥6.6 billion) had been withdrawn from Liquid Global.
While one member of the community responded to the development saying: “Congratulations on your escape! ! !” Many have yet to witness a total redemption of their funds. The compensation process is expected to come with delays due to the huge number of users affected by the FTX-SBF fiasco.
Many community members have confirmed that all their money has been paid. However, FTX investors watching from the rest of the world remain optimistic about a similar outcome.
Related: Sam Bankman-Fried’s lawyers ask for extension on bail proposal
Stacking the charges against SBF, a federal judge ordered that the 12-count indictment be superseded.
A new 12-count indictment against FTX cryptocurrency exchange founder Sam Bankman-Fried was unsealed in Manhattan federal court https://t.co/MKmmgW7W01 pic.twitter.com/r9JVKNljDt
— Reuters Legal (@ReutersLegal) February 23, 2023
As Cointelegraph reported, US Attorney Damian Williams charged Bankman-Fried with eight counts of fraud-related conspiracy, as well as four counts of wire fraud and securities fraud.
SBF’s criminal trial in federal court is scheduled to begin in October, while FTX’s bankruptcy case is pending in the US Bankruptcy Court for the District of Delaware.