FTX's Dubai Outpost To Close As Parent Company Enters Restructuring
Portfolio Pulse from Murtuza Merchant
Crypto exchange FTX (CRYPTO: FTT) has requested to exclude its Dubai subsidiary from its ongoing restructuring process in the U.S. The Dubai branch, which holds a virtual asset service provider license from Dubai's Virtual Assets Regulatory Authority (VARA), has not engaged in any business activities prior to the bankruptcy declaration. The subsidiary currently has about $4.5 million across various accounts, with $4 million of it being held by VARA as security for the license. The court is set to commence its initial hearing on this matter on August 23.

August 04, 2023 | 2:09 pm
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FTX's ongoing restructuring process and the exclusion of its Dubai subsidiary could potentially impact the value of FTT. The subsidiary holds a significant amount of assets, which could influence FTT's overall financial stability.
The ongoing restructuring process of FTX and the potential exclusion of its Dubai subsidiary, which holds a significant amount of assets, could create uncertainty among investors. This could potentially lead to a decrease in the value of FTT in the short term.
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