FTX Plans $11.4 Billion Creditor Payouts to Start on May 30
FTX Bankruptcy Proceedings
- FTX plans to start paying its main creditors on May 30.
- The company has $11.4 billion in cash for distributions following its 2022 bankruptcy.
- Institutional investors and firms with crypto holdings on FTX will receive initial payments.
- Smaller creditors with claims under $50,000 have already begun receiving distributions.
- FTX faces “27 quintillion” claims, many of which may be duplicates or fraudulent.
- Legitimate creditors earn 9% interest annually on unpaid claims, increasing urgency for payments.
FTX’s collapse has led to frustrations among creditors due to the rising price of Bitcoin since the bankruptcy.