FTX Japan said Thursday it is going into "close-only" mode, meaning users will only be able to close out existing positions but not initiate new ones, following an official order earlier in the day by Japan's Financial Services Agency to suspend operations.

FTX announced its plans in a tweet, adding that FTX Japan "is a separate entity that strictly follows the Japanese regulation on asset segregation."

The FSA said it wanted FTX Japan to halt its crypto asset exchange business and stop accepting new customers until Dec. 9, effective immediately.