Breaking: Bahamas securities regulator freezes FTX assets

The Bahamas Securities Commission (BSC) has frozen the assets of FTX Digital Markets (FDM) and “related parties” on Nov. 10, it also suspended FTX’s registration in the country and the Bahamian Supreme Court appointed a provisional liquidator, the BSC said in a statement shared by local media.

The BSC added it was aware of “public statements suggesting that clients’ assets were mishandled, mismanaged and/or transferred to Alameda Research.”

“No assets of FDM, client assets, or trust assets held by FDM can be transferred, assigned, or otherwise dealt with, without the written approval of the provisional liquidator,” it said. Directors of FTX also had their powers stripped.

JUST IN: The Securities Commission of The Bahamas has frozen the assets of FTX Digital Markets and related parties. pic.twitter.com/Kvsslqy8v0

— Eyewitness News Bahamas (@ewnewsbahamas) November 10, 2022

FTX is registered in the Bahamas, with FTX US a seperate, United States-based entity.

The BSC said it will work with the appointed liquidator to “obtain the best possible outcome for the customers and other stakeholders of FTX.”

This is a developing story and will be updated as more information is made available.