Bahamas Regulator Takes Action to Seize FTX’s Cryptocurrencies to ‘Protect’ Clients and Creditors – Bitcoin News

The Securities Commission of the Bahamas has ordered crypto alternate FTX to switch its cryptocurrencies to a pockets managed by the regulator. The “Urgent interim regulatory action was necessary to protect the interests” of FTX’s shoppers and collectors, mentioned the regulator.

Bahamas Regulator Takes Action to Seize FTX’s Cryptocurrencies for ‘Safekeeping’

The Securities Commission of the Bahamas (SCB) introduced Thursday that it has taken “the action of directing the transfer of all digital assets of FTX Digital Markets Ltd. (FDM) to a digital wallet controlled by the Commission, for safekeeping.” FTX Digital Markets is the Bahamian subsidiary of Sam Bankman-Fried’s FTX Trading Ltd., which owns and operates the crypto buying and selling platform

The securities regulator famous that the company is “acting under the authority of an order made by the Supreme Court of the Bahamas,” elaborating:

Urgent interim regulatory motion was obligatory to defend the pursuits of shoppers and collectors of FDM.

The regulator additional detailed: “Under the Digital Assets and Registered Exchanges Act, 2020 (DARE Act), the Commission has the authority to apply for a judicial order to protect the interests of clients or customers of a registrant of the Commission under the DARE Act.”

The announcement continues:

Over the approaching days and weeks, the Commission will interact with different regulators and authorities, in a number of jurisdictions, to handle issues affecting the collectors, shoppers and stakeholders of FDM globally to get hold of the very best consequence.

The Securities Commission of the Bahamas took motion to freeze the property of FTX Digital Markets and associated events on Nov. 10 as troubles on the crypto alternate unfolded.

The regulator additionally utilized to the Supreme Court to appoint Brian Simms as a court-supervised provisional liquidator. In addition, Kevin Cambridge and Peter Greaves of Pricewaterhousecoopers (PwC) have been accredited by the courtroom as joint provisional liquidators.

What do you concentrate on the Securities Commission of the Bahamas ordering FTX to switch digital property to a pockets it controls for “safekeeping”? Let us know within the feedback part under.

Kevin Helms

A scholar of Austrian Economics, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His pursuits lie in Bitcoin safety, open-source methods, community results and the intersection between economics and cryptography.

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