It could well be that FTX acted as a liquidity provider to Digital Surge.
Their TOS cite this possibility, though there is no explicit reference to any names.
im reading some of their terms.. dang.. nasty
We reserve the right to modify, permanently or temporarily disable, or discontinue any part of our Services and to alter, amend or withdraw any part of these Terms, the Privacy Policy, or any information or material appearing on our Services at any time, without liability or further notice to you. Your continued use of our Services will constitute an automatic acceptance of any alterations, withdrawals or amendments made by us.
in short. no TOS update announcement with an accept button. no 14-day consideration time to accept new terms or withdraw. no hint
You agree, authorise, direct and consent to us holding to your account all fiat currency and cryptographic tokens you send or transfer to us. You further acknowledge and agree that:
we hold the legal title to all fiat currency and cryptographic tokens which we hold to your account;
under the law, your right to recover any fiat currency or cryptographic tokens which we hold to your account is an unsecured debt owed by us to you; and
if we become insolvent, you may be entitled to make a claim for the recovery of that debt, but there is no guarantee that you will be successful in recovering any part of that debt.
nasty..
in short
it doesnt read as a
"your deposits remain your title up-until the point of sell. we simply manage the sells orders, whilst also securing your deposits to ensure we can release those deposits back when there is a withdrawal request"
if reads as
"you dont own your coins any more, we do. we can decide and change the terms of any debt without telling you. and the only way to possibly get something out of us is trying in court to convince a judge that we owe you them and also then hope we pay them after judgement.."
remember folks
"not your keys, not your coins"
these terms of services are a prime example of this
