FTX to Begin Major Creditor Payouts on May 30
After the dramatic collapse of cryptocurrency exchange FTX in November 2022, the company is now preparing to start repaying its creditors.
On this page
According to Bloomberg, payouts to FTX’s main creditors are scheduled to begin on May 30.
Meanwhile, convenience class creditors have already received initial distributions, while the main group of creditors is expected to get reimbursements in the coming days. The approved repayment plan projects returns of up to 118% of the claim value, although questions remain over whether those assets will be valued based on the price at the time of bankruptcy.
Payout Process Details
FTX plans to fund the repayments using $11.4 billion in cash reserves it has accumulated since the exchange shut down. The main creditors include both institutional investors and individual users with sizable claims.
However, the process faces complications due to the massive volume of filings. Attorney Andrew Dietderich revealed that FTX is dealing with around 27 quintillion claims—many of which are duplicates or invalid.
In addition, some claims also violate Know Your Customer (KYC) regulations, which further slows down verification and the identification of legitimate requests. Despite optimistic expectations, FTX will calculate all repayments based on the market rates at the time of its bankruptcy filing (November 11, 2022). This means creditors won’t benefit from the significant rise in crypto prices since then.
Related: Three Arrows Capital vs FTX: Court Approves $1.5 Billion Claim
Challenges and Expectations
The sharp rise in the value of certain digital assets has led many creditors to question the payout calculation method.
For instance, between November 11, 2022, and March 31, 2025 (at the time of writing), Solana (SOL) surged more than sevenfold, XRP increased over five times, and Bitcoin (BTC) jumped more than 4.5 times. Nevertheless, the payout amounts remain fixed based on the bankruptcy date, frustrating many creditors.
Related: Life in Prison: Sam Bankman-Fried Speaks with Tucker Carlson
While waiting for repayment, creditors will earn 9% annual interest, which gives FTX a strong incentive to accelerate the process. Still, even with a court-approved plan in place, unresolved disputes could drag the process out for months, adding further uncertainty to the crypto landscape.
The FTX repayment saga continues to spark strong debate in the crypto community, underscoring how difficult it is to restore financial stability after the collapse of a major exchange.
The content on The Coinomist is for informational purposes only and should not be interpreted as financial advice. While we strive to provide accurate and up-to-date information, we do not guarantee the accuracy, completeness, or reliability of any content. Neither we accept liability for any errors or omissions in the information provided or for any financial losses incurred as a result of relying on this information. Actions based on this content are at your own risk. Always do your own research and consult a professional. See our Terms, Privacy Policy, and Disclaimers for more details.
Articles by this author
