Creditors set to receive third tranche of reimbursements as recovery process continues
The FTX Recovery Trust will unlock $1.6 billion for creditors on September 30, marking the third round of distributions since the collapse of the crypto exchange in 2022. According to Friday’s announcement, recipients should see the funds credited to their accounts within three business days of the scheduled payout.
Breakdown of the September Payout
The September disbursement will vary across claim categories:
- Dotcom Customer Claims: 6% payout
- US Customer Entitlement Claims: 40% distribution
- General Unsecured and Digital Asset Loan Claims: 24% distribution
- Convenience Claims: 120% reimbursement
This round follows earlier distributions, including $1.2 billion in February and $5 billion in May, as part of the trust’s commitment to return up to $16.5 billion in assets to creditors and former customers.
Impact of FTX Collapse Still Resonates
The failure of FTX in late 2022 not only wiped out billions in customer funds but also intensified the crypto bear market of that year. Market observers continue to monitor the recovery process closely, as each payout has the potential to influence investor sentiment and liquidity within the sector.
Legal Proceedings Continue
Meanwhile, former FTX CEO Sam Bankman-Fried remains at the center of legal proceedings. Convicted in November 2023 on charges including wire fraud, securities fraud, and money laundering conspiracy, he was sentenced to 25 years in prison in March 2024. His legal team has confirmed that an appeal will be filed in November.
While the September distribution offers relief, industry experts caution that the recovery process remains far from complete. With billions still to be allocated, creditors and investors alike are watching to see how much of their funds will ultimately be returned — and how this saga will shape the future of trust in centralized exchanges.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.