FTX Set to Distribute Second Round of Payments on May 30
Defunct crypto exchange FTX is gearing up for its next round of creditor payments on May 30. This follows the initial repayment that began this week. The FTX estate plans to continue reimbursing creditors until mid-2025, with more payments scheduled for May 30, as per the firm’s official bankruptcy updates.
This second distribution will target larger claims adn single repayments over $50,000. The exact amount is still unknown, but creditors can expect billions in recovered cash and crypto. FTX also announced that the record date for the next distribution will be April 11,2025,for holders of allowed claims in Class 5 and class 6 as defined in the Plan.
Sunil Kavara,representing the largest FTX creditor group,emphasized April 11 as a crucial date. Customers with claims under $50,000 who haven’t received payments will be settled by this date.Those with claims over $50,000 must choose Kraken or bitgo as a distribution agent by April 11.
This week, FTX started phase one of its court-approved bankruptcy claims process. The former crypto giant set aside $1.2 billion for this first tranche, though only $800 million will likely reach creditors. Creditors expect around $13 billion in restitution. Though, bankruptcy administrators under CEO John J. Ray III plan to keep up to $7 billion in reserve for disputed claims.
