FTX EU Launches New Website to Help European Customers Regain Lost Funds

CySEC directed FTX EU to halt all its operations on November 9, 2022.

The European arm of FTX, FTX EU, has just opened a new website where customers in Europe may lay claims to their lost funds. The move, which is meant to give relief to customers, comes four months after the large-scale collapse of the FTX exchange in November.

FTX EU Bags Regulatory Approval to Launch

According to a Finance Magnates report, the new website was approved by the Cyprus Securities and Exchange Commission (CySEC). However, the website will be focused solely on helping affected customers to claim their FIAT balances from before the collapse. This means that the platform will not be offering any other products or services as it did before. In a statement, FTX EU said partly:

“The website will only be used for all FTX EU LTD clients to be able to claim their FIAT balances.”

The idea behind the new website is simple and expected to go without much of a hassle. This is because, while the platform serves users in the Europe Economic Area and the Middle East, it only launched seven months before FTX collapsed. Therefore, there is an expectation that the number of users that will submit withdrawal requests will not be so large.

It is also worth mentioning that FTX continues to find various ways to ease its customers’ pains. Another of its subsidiaries, FTX Japan similarly allowed the withdrawal of funds totaling about $50 million just last month.

CySEC directed FTX EU to halt all its operations on November 9, 2022. At the time, the regulator cited reasons bordering on customer protection and asked the firm to proceed immediately with some actions. Two days later, however, Coinspeaker reported that the global FTX Group and its 130 affiliates eventually filed for bankruptcy.

FTX Europe was headquartered in Switzerland in the short period it operated. According to CySEC, the firm was only approved to carry out investment services which can be in the form of derivatives or other financial instruments.

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