(Bloomberg) -- Crypto prime broker Hidden Road Partners urged clients to sell off all balances and positions on embattled virtual currency exchange FTX.com and to convert them into US dollars, according to an email viewed by Bloomberg News.

Hidden Road, which months ago completed a $50 million funding round with backers including Citadel Securities and FTX’s venture capital arm, FTX Ventures, told clients in a message Wednesday that they have until 7:30 p.m. New York time to liquidate holdings at FTX.com. Hidden Road said that under a clause in customers’ contracts it was declaring an “exchange default.”

The decision shows how turmoil at FTX is emanating to a wider group of firms involved in digital assets -- while also underscoring the criss-crossing ties between many of the crypto world’s platforms. Representatives for Hidden Road and FTX declined to comment. 

As FTX Chief Executive Officer Sam Bankman-Fried awaited a potential bailout from Binance on Wednesday, he told investors that without a cash injection his company would need to file for bankruptcy. He said FTX faced a shortfall of up to $8 billion and needed $4 billion to remain solvent. Binance later pulled out. 

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