VOT Research Desk
Sam Bankman-Fried (SBF), the former CEO of FTX, revealed his decision to allow withdrawals for Bahamians in an interview with blogger Tiffany Fong on November 16.
The reason I did it was because it was essential to the exchange’s ability to have a future because that’s where I am right now, and you do not want to be in a country with a lot of angry people in it and you do not want your company to be incorporated in a country with a lot of angry people in it.
This decision from the former FTX head came after the exchange experienced some user unrest.
On November 8 halted all withdrawals because of a liquidity crisis. SBF said that after acting on FTX’s purported notice to Bahamian officials about the same, he began withdrawals without waiting for a response.
However, Digital Markets, FTX’s Bahamian subsidiary, ultimately decided to file for bankruptcy before the withdrawals could be restarted. The Chapter 15 bankruptcy that was filed on November 16 would let FTX Digital Markets to continue the case in American courts.
