<p>Bahamas authorities took custody of about $400 million worth of cryptocurrency that was held by FTX. It seems likely that that's what they had been using for things like withdrawals.</p>

CC BY-SA 4.0
2022-11-22T02:30:07.657Z
2022-11-22T02:30:07.657Z
David Schwartz
<p>I have seen in the news that, in bankruptcy filings, it was revealed that FTX held no bitcoin. As far as I can find on the internet there's nothing pre-implosion that suggests user were explicitly unable to <em>ever</em> withdraw BTC... how is this possible? If FTX owned none, prior to the bank run, how were people able to take their assets off the exchange and into private custody? Would FTX just buy it spot and then give it to them?</p>

<exchanges><hardware-wallet>
Prior to collapse, how could FTX honor btc withdrawals if filings show they held no bitcoin?
Runeaway3
# Prior to collapse, how could FTX honor btc withdrawals if filings show they held no bitcoin?

(Asked by: username_0 on 2022-11-21)

I have seen in the news that, in bankruptcy filings, it was revealed that FTX held no bitcoin. As far as I can find on the internet there's nothing pre-implosion that suggests user were explicitly unable to *ever* withdraw BTC... how is this possible? If FTX owned none, prior to the bank run, how were people able to take their assets off the exchange and into private custody? Would FTX just buy it spot and then give it to them?

**Tags:** exchanges, hardware-wallet


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## 1 answers

### Answer by username_1 on 2022-11-22. Score: 1

Bahamas authorities took custody of about $400 million worth of cryptocurrency that was held by FTX. It seems likely that that's what they had been using for things like withdrawals.


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