In Brief:
- Liquid Global suffered from hacking last week with the lost of nearly $90 million
- The liquid will utilize the fund to strengthen its capital position, accelerating capital generation projects and providing critical liquidity.
Cryptocurrency exchange FTX is lending $120M to the Japanese crypto exchange, Liquid Global that suffered from hacking last week. Liquid Global lost nearly $90 million in the hack.
According to the announcement, the funds will strengthen its capital position, accelerating new capital generation projects and providing critical liquidity. The funds also give much-needed liquidity for exchange which liquid says “underpins its commitment to premier customer support and regional leadership in the blockchain industry.”
Moreover, the financing will also improve Liquid’s balance sheet and, in turn, its key regulatory metrics, which “further corroborates its ongoing licensing opportunities in the key jurisdictions of Japan and Singapore.”
“We are encouraged by the support of FTX & look forward to accelerating Liquid’s roadmap of initiatives to bring innovative products in the market we serve in Japan and the world,” said Seth Melamed, COO of Liquid Group Inc. “By collaborating with FTX, we see enormous opportunities to drive innovation and change the future of finance with blockchain technology”.
The liquid is grateful for the vote of confidence from FTX and the valuable support of its users in its mission. The exchange’s mission is to serve the growth of blockchain-based financial services in a compliant manner.
Also Read: Hot wallets of the Japan’s Liquid Global Exchange compromised
“This opportunity with Liquid allows both organizations to strengthen and reinforce the belief that regulation in crypto and knowing your customers is an important part of the future of our industry,” said Sam Bankman-Fried, founder and CEO of FTX Trading Ltd.
Liquid, through its Japanese operating entity, Quoine Corporation, was one of the first exchanges to get licence as a crypto-asset-exchange. It is licensed under Japan’s Payment Services Act. Liquid’s Singapore subsidiary, Quoine Pte, has applied to the Monetary Authority of Singapore(MAS).
