Key Takeaways
- FTX is set to distribute over $5 billion to creditors starting May 30, 2025.
- Eligible creditors will receive varying payment rates through BitGo or Kraken.
Share this article
FTX is set to begin its second creditor payout starting on May 30, targeting to distribute more than $5 billion to eligible claimants, according to the estate’s Thursday announcement. Payments will be processed through BitGo or Kraken and are expected to arrive within 1 to 3 business days, the entity states.
The distribution includes varying payment rates across different claim categories: Dotcom Customer Entitlement Claims will receive 72%, US Customer Entitlement Claims 54%, General Unsecured Claims and Digital Asset Loan Claims 61% each, and Convenience Claims 120%.
“These first non-convenience class distributions are an important milestone for FTX,” said John J. Ray III, Plan Administrator of the FTX Recovery Trust. “The scope and magnitude of the FTX creditor base makes this an unprecedented distribution process, and today’s announcement reflects the outstanding success of the recovery and coordination efforts of our team of professionals.”
To receive distributions, creditors must complete several requirements, including logging into the FTX Customer Portal, completing Know Your Customer verification, submitting tax forms, and onboarding with either BitGo or Kraken.
Customers who onboard with a Distribution Service Provider will forfeit their right to receive cash distributions directly from FTX, with payments instead going through their chosen provider.
The company warned users to remain vigilant against phishing attempts, emphasizing that FTX will never request wallet connections. For transferred claims, distributions will only be made to transferee holders of allowed claims that are properly processed and registered with the Notice and Claims Agent.
This is a developing story.
Share this article
