{"id":5610,"date":"2025-07-24T06:07:07","date_gmt":"2025-07-24T06:07:07","guid":{"rendered":"https:\/\/bitunikey.com\/news\/ftx-to-begin-next-creditor-distribution-on-sept-30-after-court-frees-1-9b\/"},"modified":"2025-07-24T06:07:11","modified_gmt":"2025-07-24T06:07:11","slug":"ftx-to-begin-next-creditor-distribution-on-sept-30-after-court-frees-1-9b","status":"publish","type":"post","link":"https:\/\/bitunikey.com\/news\/ftx-to-begin-next-creditor-distribution-on-sept-30-after-court-frees-1-9b\/","title":{"rendered":"FTX to begin next creditor distribution on Sept. 30 after court frees $1.9B"},"content":{"rendered":"<p><\/p>\n<div class=\"post-detail__content blocks\">\n<p class=\"is-style-lead\">FTX\u2019s bankruptcy case continues to move forward as the exchange prepares for its next round of creditor repayments, set to begin at the end of September.<\/p>\n<div id=\"cn-block-summary-block_f369e06e77d48d6e418b45e81bf3c1ae\" class=\"cn-block-summary\">\n<div class=\"cn-block-summary__nav tabs\">\n        <span class=\"tabs__item is-selected\">Summary<\/span>\n    <\/div>\n<div class=\"cn-block-summary__content\">\n<ul class=\"wp-block-list\">\n<li>FTX will begin its next distribution to creditors on Sep. 30, 2025.<\/li>\n<li>A U.S. court approved the release of $1.9B in cash for this round.<\/li>\n<li>Creditors continue to challenge valuation methods and payout exclusions.<\/li>\n<\/ul><\/div>\n<\/div>\n<p><!-- .cn-block-summary --><\/p>\n<p>The update offers progress for creditors still waiting nearly three years after FTX\u2019s collapse in late 2022. According to a <a rel=\"nofollow\" target=\"_blank\" href=\"https:\/\/www.prnewswire.com\/news-releases\/ftx-sets-next-distribution-date-following-disputed-claims-reserve-reduction-302512444.html\" target=\"_blank\">statement<\/a> published July 23, the next distribution to holders of approved Class 5 (Customer Entitlement Claims), Class 6 (General Unsecured Claims), and certain Convenience Claims will begin on or around Sep. 30, 2025. The record date to qualify is set for Aug. 15, 2025.<\/p>\n<p>This comes after a recent court decision that reduced FTX\u2019s disputed claims reserve from $6.5 billion to $4.3 billion, allowing it to release $1.9 billion in cash. The September payout will include the distribution of this extra liquidity to qualified creditors.<\/p>\n<p><strong>Court Approval Unlocks Funds for Next Distribution<\/strong><\/p>\n<p>FTX\u2019s Distribution Service Providers, BitGo, Kraken, and Payoneer, will handle the payouts. Claimants must complete know-your-customer verification, submit tax forms, and be properly registered by the August deadline to receive their payment.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p>\n<p>The release of the $1.9 billion was approved by the U.S. Bankruptcy Court in Delaware, following the October 2024 confirmation of FTX\u2019s broader reorganization plan. That plan enables the repayment of up to $16.5 billion, including full principal and 9% interest for most non-governmental creditors.<\/p>\n<p>Although this is a positive step, there are still challenges, particularly in regions where payouts are restricted by legal or regulatory concerns. China and Russia, for example, account for almost $470 million in claims. Some creditors are considering lawsuits over the exclusions, and legal objections are still being raised.\u00a0<\/p>\n<p><strong>Creditors Frustrated by Valuation Method<\/strong><\/p>\n<p>FTX is repaying claims based on crypto asset values at the time of bankruptcy in November 2022, when Bitcoin (BTC) traded between $16,000 and $20,000. Given that Bitcoin is now worth about $120, 000 and other altcoins have registered significant gains as well, creditors are dissatisfied because they feel shortchanged in the cryptocurrency market\u2019s recovery.<\/p>\n<p>Several claimants have filed lawsuits, arguing they are owed the current market value based on FTX\u2019s terms of service. However, the bankruptcy court has so far upheld the original dollar-based valuation model. <\/p>\n<p>Despite recovering as much as $16.5 billion, FTX had lost nearly all customer-held crypto by the time of bankruptcy, with only 0.1% of Bitcoin and 1.2% of Ethereum (ETH) reportedly available.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>FTX\u2019s bankruptcy case continues to move forward as the exchange prepares for its next round of creditor repayments, set to begin at the end of September. Summary FTX will begin&hellip;<\/p>\n","protected":false},"author":1,"featured_media":5611,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-5610","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/5610","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=5610"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/5610\/revisions"}],"predecessor-version":[{"id":5612,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/5610\/revisions\/5612"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/5611"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=5610"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=5610"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=5610"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}