The crypto-derivatives exchange FTX has officially relocated its headquarters from Hong Kong to the Bahamas.
The relocation of the company’s headquarters follows the company’s Bahamian subsidiary’s announcement on Monday. Earlier this week, FTX Trading Ltd. registered as a digital assets firm with the Bahamas Securities Commission. In addition to the registration news, the company announced the appointment of Ryan Salame as CEO of FTX Digital Markets. Before joining Alameda Research, Salame was the company’s vice president of over-the-counter sales.
While global policymakers debate crypto industry regulation, FTX chose the Bahamas for its already implemented attitude. According to FTX creator Sam Bankman-Fried, the Bahamas’ regulatory organizations are aggressive in their approach to cryptocurrencies. This is a significant cause for the change.
This year, FTX US continues to grow in terms of volume. According to a September 23rd Tweet, the company is approaching 5% growth.
Regulatory Implications
Additionally, the action comes as China’s gov. imposes a new restriction on digital currencies. China has already cracked down on crypto miners around the country this year, resulting in an exodus of crypto-related actors.
Additionally, nations including Australia, Japan, and South Africa are considering adding or tightening their crypto regulations. FTX does, however, want to maintain a tight connection with regulators. On Friday, Natalie Tien, an FTX spokesman, reiterated this position in an email.
“We are committed to working together with local regulators to assist support the growth of cryptocurrency, and we are also committed to offering a safe, trustworthy, and compliant exchange for all of our clients,” Tien stated. “We are pleased to participate as jurisdictions implement comprehensive crypto regulatory systems. Additionally, we are favoring locations in states that do not impose travel restrictions.”
The exchange, however, also maintains a headquarters in San Francisco, California. Regulators in the United States are currently enacting new crypto industry restrictions. While SEC Chairman Gary Gensler asserts that the business cannot exist in the absence of regulations, others within the industry emphasize the industry’s equality. As regulations take effect, exchanges and crypto-related enterprises such as FTX will be at the mercy of these regulators.
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