Bahamas’ Regulator Seizes FTX Digital Markets’ Assets
The Bahamas Securities Commission transferred on November 12 all assets of FTX Digital Markets (FDM) to a wallet under its control.
On the evening of November 11, there was an unauthorized withdrawal of more than $477 million from the platform to third-party addresses. Some of them were blocked by Tether and Kraken.
The head of the company, Sam Bankman-Fried, called the incident a “hacker attack.”
The regulator has said in a statement:
“Urgent temporary regulatory action was necessary to protect the interests of FDM clients and creditors.”
FTX Digital Markets filed on November 15 with the Southern District of New York (SDNY) for Chapter 15 bankruptcy. The procedure may protect FDM from forfeiture of assets within the States during a liquidation in the Bahamas.
