Newton has been sending out emails in the past few hours wanting to reassure their customers that all of their assets are insured and that they don't take risks with customers' money. This is applaudable, as it provides a sense of security to it's customers that nothing untoward is going on. However, why send the email? Are they feeling insecure about something?
With the meteoric demise of FTX, it's understandable that other exchanges are going to be worried that customers are going to be withdrawing their assets from the exchange, but they should be in a position to be able to payout the full amount to the client. After all, it is their money and the exchanges are only holding it for them.
Maybe I don't understand enough about the situation, but receiving a number of emails has raised a red flag for me. It's a small red flag, but a red flag nonetheless.
They finish their email by saying
...but customers should expect to see intermittent trading issues on Newton over the next few days until things settle.
