07.09.2023
FTX moves some assets to BitGo accounts
07.09.2023
Glory Faleke
Contributor

​Cryptocurrency exchange FTX announced that it is returning some tokens to native blockchains and transferring some assets to BitGo custodian accounts. 

The transactions, which the exchange announced on its X (Twitter) page, are expected to improve the security of the tokens and also make them more accessible.

FTX has also moved SOL and other tokens from existing wallets to BitGo, a certified FTX custodian, Coincu reported. 

While the move will improve the security of the tokens, many experts have expressed concern that the potential sale of 7 million SOLs for $134 million could lead to a collapse in the exchange rate. Solana co-founder Anatoly Yakovets, suggested that FTX simply return the tokens to the platform's users, but his call was ignored. 

The exchange explained its actions as a normal capital transfer. 

Earlier, FTX received court approval to sell some of its crypto assets, raising the possibility of liquidating the platform's altcoin portfolio. The court also appointed BitGo as a trusted custodian in December 2022. The choice in favor of this particular service in FTX explained the reliability and transparency of the latter. 

Read also: The U.S. regulator has developed new crypto accounting rules.