FTX EU Commences Process To Return Customer Funds

• FTX’s European arm has initiated the process to return the remaining assets to its customers. 
• The platform has set up a dedicated website for clients to request final balances ahead of withdrawals. 
• Withdrawals will only be available for customers who opened their accounts after 7 March 2022. 
• The withdrawal process will be similar to the one carried out by FTX Japan in February. 

FTX EU, the European arm of Sam Bankman-Fried’s bankrupt crypto exchange, has commenced the process of returning funds to its customers. The crypto platform’s customers will now be able to inquire about their balance on the exchange, which will be followed by withdrawals. 

Withdrawals will be restricted to FTX customers who opened accounts after March 2022

According to a press release from FTX, the crypto exchange’s European arm has set up a dedicated website for processing all withdrawal requests. Customers can use the website to request final balances ahead of the withdrawal of fiat currency funds remaining in their accounts. The customers will receive a statement of the funds that they are entitled to. 

All withdrawal requests will be subject to know-your-customer (KYC) and anti-money laundering (AML) checks, along with customary verification of account details. 

It is important to note that withdrawals will be available only to customers of the European crypto exchange who opened their accounts after 7 March 2022. The press release comes a day after Kroll Restructuring Administration, FTX’s liquidators, emailed the exchange notifying them of scheduled claim information related to the ongoing bankruptcy proceedings. The liquidator clarified that customers will only be entitled to the amount that will be communicated through the newly set up website, and not the amount laid out in the scheduled claim information

As clearly stated in the Kroll email, the scheduled claim information included in that email is not a statement by the Debtors of the amount or validity of any claim held by any person.”

The withdrawal process for the European arm will be similar to that of FTX Japan, which started returning funds to its customers in February. The Japanese subsidiary had also set up a dedicated website through which balances were communicated to customers ahead of withdrawals. The development in FTX EU’s withdrawal process prompted native token FTT to hike by 3% earlier today.

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