FTX relocated from Hong Kong to a more crypto-friendly place like The Bahamas, as the CEO Sam Bankman Fried announced so let’s find out more in our latest crypto news today.
FTX is the second most popular crypto trading platform and now it has officially moved its headquarters from Hong Kong to the Bahamas according to the website but it still remains incorporated in Barbuda and Antigua. Earlier this week, FTX Trading Limited recieved licenses for subsidiaries in Gibraltar and the Bahamas and it will operate under the Banner of FTX Digital Markets in the latter where it is registered as a digital asset business by the Bahamas Securities Commission.
1) We're really excited to be setting up @FTX_Official's headquarters in The Bahamas!
a) The Bahamas is one of the few places to set up a comprehensive framework for crypto; FTX is registered
b) The Bahamas has emerged from COVID lively, safe, and without quarantine
— SBF (@SBF_FTX) September 24, 2021
FTX Founder and CEO Sam Bankman Fried added that the country emerged from COVID safe and with no quarantine:
“The Bahamas is one of the few places to set up a comprehensive framework for crypto.”
The Bahamas along with other Caribbean countries embraced crypto business and even realized the Sand Dollar which is a central bank digital currency, as we saw laws year. Also, the Bahamas-based Deltec bank already provides services to FTX as well as Tether and a few other exchanges. The country also passed the Digital Assets and Registered Exchange Bill in 2020 and extended the licensing to crypto and other fintech companies. FTX relocated due to the more crypto-friendly stance of the nation and fTX Digital Markets will be the first digital asset bill that is going to be registered under the aCT. The SEC director Chistina Rolle lauded the DARE Act’s role in attracting exchanges like FTX to the island and noted that more crypto companies should come:
“It’s a huge vote of confidence for the jurisdiction, and what it signals is that you have a big player like this that is really looking for a jurisdiction that has clearly defined the scope of its regulation, and that is what DARE provides.”
— Amy Wu (@amytongwu) September 24, 2021
“Having a comprehensive, nimble regulatory framework with oversight is essential to ensuring that the crypto industry is safe, robust, and growing. We’re excited to be one of the first global crypto exchanges to be part of a comprehensive spot + derivatives regulatory regime.”
Hong Kong on the contrary is falling in step with mainland China as the government already reiterate that crypto trading remains against the laws while continuing to work on the digital yuan. A month ago, Binance was forced to stop allowing Hong Kong users to trade derivatives that include options, futures, and perpetual contracts on the platform due to a commitment to compliance. FTX also does plenty of its exchange volume from crypto derivatives rather than spot trading which makes Hong Kong a less desirable location for the base of operations.
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