Crypto exchange FTX’s European arm license in Southern Cyprus was reportedly suspended after it suffered a liquidity crisis.
Recently, the Bahamas Securities Commission (SCB) issued an order to freeze the assets of struggling cryptocurrency exchange FTX. On top of that, another bad news for FTX came from a new regulator. It has been reported that the license of the European arm of FTX EU has been suspended.
FTX EU Activities Suspended in Southern Cyprus
Cryptocurrency exchange FTX’s license in Cyprus has been suspended after a liquidity crunch that resulted in withdrawals being halted.
The Cyprus Securities and Exchange Commission has suspended the license of FTX Europe, Bloomberg reports. FTX Europe will no longer operate under license in the European Economic Area.
scoop: FTX Europe is to have its licence suspended by the Cyprus Securities and Exchange Commission, halting its permissions to operate across the European Economic Area. an announcement could happen today
story w/ Georgios Georgiou, on Terminal now 🌟
— Emily Nicolle (@emilyjnicolle) November 11, 2022
FTX said in September it had received clearance from the Cyprus Securities and Exchange Commission, which covers the EU, as well as Norway, Iceland and Liechtenstein. However, with the emergence of the liquidity crisis, the EU license of the exchange took a hit. It is stated that the troubled crypto exchange is planning to suspend its two-month license that allows it to operate across Europe.
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