Thomas Daniels
After the first payout phase began this week, the now-defunct cryptocurrency exchange FTX has set the date for its second round of creditor distributions for May 30.
The FTX estate will continue to pay creditors through the middle of 2025, according to official bankruptcy notifications. This second reimbursement will give priority to larger claims and single repayments that total more than $50,000. Creditors expect to get billions in recovered cash and digital assets, although the exact amount to be disbursed has not yet been disclosed.
The biggest group of FTX creditors, represented by Sunil Kavara, also underlined the importance of April 11 as a deadline. By this date, customers who have not yet received payment for claims totaling $50,000 or less will have their claims resolved. Furthermore, by April 11, claimants who surpass this threshold must choose between BitGo or Kraken as their designated distribution agency.
FTX allocated $1.2 billion for the first phase of its court-approved bankruptcy claims process, which began this week. Only $800 million is anticipated to reach creditors, though. In total, FTX’s creditors are requesting reparations totaling over $13 billion. In the meantime, John J. Ray III, the CEO of the bankruptcy administration, intends to keep up to $7 billion in reserves for contested claims.
