FTX Japan, the Japanese branch of the crypto exchange, plans to re-enable customer withdrawals in mid-February next year after suspending the service last month due to its parent company's bankruptcy filing.
FTX Japan previously promised to build a new system different from that used by its parent company to allow customers to access their funds on the platform.
Based on a recent update, the exchange is partnering with Liquid, a Japanese platform acquired by FTX this year to aid its Asian expansion, while at the same time simplifying the refund process for users.
"For the assets entrusted to us by our customers at FTX Japan and Liquid Japan, we continue to develop systems so that production can be done".
Under the collaboration, FTX Japan users can check their account balances and withdraw their assets directly from Liquid's webpage. On the other hand, Liquid users can withdraw their funds on the Liquid application.
The two firms structured a comprehensive plan to assist the production process. In other words, investors can recover their assets even after the bankruptcy of the company.
Japan's FTX is also set to exit the market next year after paying off its customer debt. The Financial Services Agency (FSA) previously mandated the exchange to stop some of its services related to OTC derivatives transactions and related margins, including withdrawals. The FSA also demanded that FTX Japan hold its assets domestically and update the amount of liabilities on its balance sheet regularly.
Despite the FSA's claim last month, the Kanto Local Finance Bureau has ordered Japan's FTX off the market on March 9, 2023.
