Catenaa, Wednesday, May 21, 2025-FTX creditors will receive more than $5 billion from the bankrupt crypto exchange’s estate beginning May 30, according to the FTX Recovery Trust’s Thursday statement. This marks the second phase of the bankruptcy estate’s repayment plan.
Four creditor groups are set to receive funds, with payouts ranging from 54% to 120% of their claims based on the value of their FTX holdings when the exchange collapsed in November 2022.
The distributions cover lenders, trading partners, vendors, and other creditors, with smaller unsecured claims receiving roughly 61%, while inter-company claims will be paid at 120%.
John J. Ray III, FTX Recovery Trust plan administrator, called the distributions a significant milestone, noting the unprecedented scale and complexity of the process.
BitGo and Kraken will handle transferring funds to eligible creditors within one to three business days after the May 30 start date.
The repayment wave comes as public attention around FTX’s collapse has diminished amid a shift in U.S. government policy under President Donald Trump, who has taken a more pro-crypto stance. Regulatory approvals for spot Ethereum and Bitcoin ETFs, along with easing of SEC actions against crypto firms, have contributed to a positive environment for digital assets.
The recovery plan’s first phase, launched in February, returned more than $1 billion to creditors with claims under $50,000. The current phase aims to reach the remaining creditors who have not yet received payments from the estate.
FTX creditors to receive over $5 billion starting May 30
Payouts range from 54% to 120% of original claims
BitGo and Kraken will distribute funds within days
Repayments occur amid a more favorable U.S. crypto policy
FTX will distribute more than $5 billion to creditors beginning May 30 as part of the second phase of its bankruptcy repayment plan. Payouts range between 54% and 120% of claims, handled by BitGo and Kraken.
