FTX EU’s new withdrawal platform, ftxeurope.eu, is a welcome development for its European users who were affected by the collapse of FTX, a cryptocurrency trading platform. The platform was approved by the Cyprus Securities and Exchange Commission and is solely dedicated to allowing customers to claim their fiat balances. However, it does not offer any other services or products.
FTX EU was only approved by the regulator in March 2022, and it was available for a short duration to users in the European Economic Area and Middle East. Therefore, it is unclear how many users were impacted by the collapse of FTX. Nevertheless, the launch of the withdrawal platform is a positive step towards reimbursing affected customers.
FTX Japan, another subsidiary, had already allowed customers to withdraw their funds, amounting to around USD 50 million, in late February. The Cyprus regulator requested FTX EU to suspend its operations on November 9, shortly before FTX Group and its 130 affiliated companies, including FTX EU, filed for bankruptcy on November 11.
FTX EU was headquartered in Switzerland for the brief time that it operated, and it remains to be seen how long it will take for users to receive their funds. While the launch of the withdrawal platform is a good sign, customers will have to wait and see if they can retrieve their funds in a timely manner.
