PANews May 16th news, according to The Block, FTX Trading Ltd., the parent company of the bankrupt cryptocurrency exchange FTX The second phase of the Chapter 11 restructuring plan will be launched on May 30, 2025, allocating over 5 billion US dollars to creditors.
FTX’s bankruptcy management team announced on May 15 that convenience and non-convenience creditors who meet the pre-distribution requirements will receive their funds from Bitgo or Kraken within one to three working days from that date.
John J. Ray III, the administrator of FTX’s Recovery Trust program, said that given the broad creditor base, this allocation is a key step in carrying out the most complex creditor payment operation to date, and the first non-facility allocation is an important milestone for FTX.
According to the terms outlined in the payment grades of the restructuring plan, Class 5A.COM customer equity claims will receive 72% compensation, Class 5B customer equity claims within the United States will receive 54% compensation, Class 6A ordinary unsecured claims and Class 6B digital asset loan claims will receive 61% compensation, and Class 7 facilitation claims typically cover smaller claims. Compensation will be made at 120%.
Previously, FTX has made its first cash withdrawal distribution to small creditors in the convenience category under the Chapter 11 restructuring plan. In February 2025, creditors with claims of less than $50,000 began to receive full repayment, along with an annual interest rate of 9% since FTX’s bankruptcy filing in November 2022.
Overall, the distribution on May 30th marked the second official payment round since FTX entered the bankruptcy process and was an important milestone in FTX’s bankruptcy reorganization process.
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