Court Approves FTX’s $16.5B Plan to Repay Customers

October 9, 2024 - 2 min. read
FTX Funds Recovery

J

ohn Dorsey, The US bankruptcy judge has finally provided the green light for the $16,5 billion dollars FTX plan to pay back customers after the exchange collapsed 2 years ago.

Repayment Details

The approved plan includes a priority for FTX customers, that will receive approximately 119% of the value of their account in Novembre 2022, the day the FTX exchange collapsed. The process will take 60 days to finalize.

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Distribution Plan

Distribution Timeline

The distribution will occur in multiple phases, with the first one consisting of $1.1 billion dollars expected in 2024 uniquely for claims up to $50,000, with the remainder expected in Q1 2025.

A Step Towards Resolution

FTX’s collapse in 2022 will go down in  history as the biggest fraud in the cryptocurrency sector surpassing MTGOX hack. Today marks a  huge step to clear one of the biggest cryptocurrency collapses and, with it, a way for millions of customers and investors affected to reclaim their funds, with many analyst seeing this as a positive sign for the market as many will reinvest their funds in the crypto sector, pushing prices higher.