11-21-2022 icon

Trading platform Liquid halts exchange activities following suspension of outgoing payment

By Lucy Adegbe

According to a Sunday twitter publication, Liquid has halted all exchange activities, in accordance with the mandate from bankrupt exchange FTX.

The publication implies that the FTX-owned trading protocol has suspended all exchange-related activities due to the recent chapter 11 proceedings in the mid-Atlantic US Delaware law court.

Liquid also underlined that the firm is making attempts to figure out its position, amid the ongoing case, and would disclose further details in time.

The firm halted outgoing payment transactions five days before its trade suspension, pointing out the adherence policy as a condition of an intentional insolvency filing activity.

On November 10, the Japanese federal regulatory aid Financial Service Agency (FSA) instructed FTX residential associate, FTX Japan, to momentarily halt exchange operations.

Liquid is not the only firm affected by the current insolvency activities of its holding company. Insolvent digital currency loan firm Voyager Digital has been reported to be sourcing new investors after FTX US won its bid two months back.  According to a November 13th news, digital trading protocol CrossTower is developing a modified offer for Voyager Digital’s resumed bid.

FTX subdivisions like LedgerX have been operating in ways to detach from FTX. A strategic assessment of FTX’s worldwide properties excluded LedgerX from the list of borrowers in FTX insolvency proceedings. Some of FTX’s legal subdivisions own a credible financial record.

The likes of FTX EU, Zubr trade, Quoine, FTX Japan and FTX Exchange FZE make up the list of borrowers, as discovered by financial service protocol Perella Weinberg.