Liquid Global Halts Withdrawals as FTX Contagion Continues

Cryptocurrency exchange Liquid Global today said it is halting all withdrawals—both fiat and crypto—from the platform.

“Fiat and crypto withdrawals have been suspended on Liquid Global in compliance with the requirements of voluntary Chapter 11 proceedings in the United States,” the exchange stated on Twitter.

Liquid said it would provide further updates “when available,” advising customers not to make any deposits on the platform.

Liquid Group and all of its operating subsidiaries, including the Japan-based Quoine Corporation and Quoine Pte. in Singapore, were acquired by FTX Trading Ltd in an undisclosed deal earlier this year.

Quoine's Liquid Exchange was one of the first crypto exchanges to be fully licensed by the Japan Financial Services Agency and has also applied for a license with the Monetary Authority of Singapore.

The exchange has its own utility token called QASH, which can be used to receive discounts on Liquid exchange fees.

The price of QASH plunged by 25% on today’s news, according to CoinGecko.

FTX Acquires Liquid Group in Major Eastern Expansion

Crypto exchange FTX is currently in the process of acquiring Japanese fintech company Liquid Group and all of its subsidiaries, according to a press release posted on the latter’s website today. As part of the deal, FTX will also gain control of Quoine, one of the first Japanese crypto exchanges registered with the country’s Financial Service Agency (FSA) back in 2017. The FSA granted Quoine a Type 1 Instruments Business license, enabling it to offer derivatives to its customers. FTX is pleased...

How FTX collapse affects the market

The demise of the FTX exchange has been a major talking point across the crypto industry for over a week now.

In a massive turn of fortunes for Sam Bankman-Fried, who founded FTX and its associated trading company Alameda Research, the 30-year-old billionaire’s empire collapsed in a matter of days after an estimated $10 billion hole was revealed, further shaking confidence in the already troubled crypto market.

Over 1 Million Creditors Could Have Claims in FTX Bankruptcy

More than a million creditors could have claims against bankrupt exchange FTX, new court filings reveal. In a document submitted to bankruptcy court in Delaware, FTX’s lawyers argued for a modification to usual rules to reflect the large number of entities who are owed money in the case. “As set forth in the Debtors' petitions, there are over one hundred thousand creditors in these Chapter 11 Cases,” the filing reads. “In fact, there could be more than one million creditors in these Chapter 11 C...

Liquid Global halting withdrawals just adds to a growing list of companies affected by recent events, which saw the likes of crypto lending and trading platform BlockFi execute the same last week and crypto venture firm Sino Global Capital revealing losses due to its “mid-seven figures” exposure to FTX.

Last week, Crypto investment and trading group CoinShares announced it had a roughly $30.3 million exposure to FTX.

Recent court filings also showed that more than a million creditors could have claims against the bankrupt exchange, with more revelations almost certainly to follow.