BitFlyer Holdings, one of Japan's largest cryptocurrency exchanges, is reportedly in the final stages of acquiring FTX Japan, the local branch of the bankrupt crypto trading platform FTX. The deal is expected to be worth billions of yen, reflecting the exchange's market value.

BitFlyer will acquire all FTX Japan shares and take over its business operations. FTX Japan is expected to shift its focus to crypto asset management or custody, targeting institutional investors.

FTX Japan was launched in June 2022, five months before FTX Group filed for bankruptcy. Despite the parent company's financial struggles, FTX Japan maintained that its customer assets were not part of the bankruptcy proceedings and resumed withdrawals in late February.

The acquisition by BitFlyer, which emerged as the winner among 41 interested parties, is closely tied to FTX's ongoing bankruptcy procedures in the U.S. Meanwhile, FTX creditors have rejected the platform's proposed reorganization plan, citing its failure to meet certain Bankruptcy Code requirements.