The Bahamas Securities Commission (BSC) has taken custody of local FTX deposits for security reasons. As of November 12, digital assets were worth more than $3.5 billion, reported department.
On November 11, BSC suspended the license of FTX Digital Markets (FTXDM) and blocked the company’s funds. On this day, the exchange and a number of affiliated structures filed for bankruptcy in the United States. The company registered in the Bahamas was not included in the application.
Shortly thereafter, it became known about the unauthorized withdrawal of assets from FTX for more than $400 million.
BSC explained that, given media reports about a potential hack or possible insider actions, they transferred the blocked funds to their own digital wallets.
BSC has previously denied FTX’s claims regarding unauthorized access to the exchange’s affiliate’s assets. The Commission noted that it had the support of the Supreme Court of the Bahamas.
This body will also decide on further transfer of funds to FTXDM clients and creditors or trustees of US debtors. The commission emphasized that it does not prioritize the interests of local users of the exchange.