<p style="text-align: justify">Customers of bankrupt FTX and FTX.US cryptocurrency exchanges may see over 90% of their assets returned to them by the end of the second quarter of 2024, following an agreement reached between FTX’s creditors and debtors.</p>
<h2 style="text-align: justify" id="payments-could-begin-at-the-end-of-q2-2024">Payments Could Begin at the End of Q2 2024</h2>
<p style="text-align: justify">The temporary committee consisting of non-U.S. customers, unsecured creditors committee, and those who filed collective lawsuits regarding customer asset disputes announced that a significant milestone has been reached in Chapter 11 cases after extensive negotiations. FTX’s debtors made a notification regarding the reached settlement to a U.S. bankruptcy court in Delaware on October 16. Now, it is expected to wait until December 16 to make a formal application for approval from the court.</p>
<p><img decoding="async" class="aligncenter size-full wp-image-267227" src="https://coin-turk.com/wp-content/uploads/2023/10/Kripto-para-Borsasi-FTX-1.jpeg" alt="" width="1024" height="644"></p>
<p style="text-align: justify">A portion of the modified repayment plan for FTX’s creditors indicates that they will collectively receive over 90% of the current assets for the distribution of funds for FTX and FTX.US customers. Accordingly, approximately $8.9 billion will be refunded to FTX’s customers and $166 million to FTX.US customers. If approved by the bankruptcy court, the management of FTX will commence the payment of funds by the end of the second quarter of 2024.</p>
<p style="text-align: justify">FTX’s CEO and restructuring officer, John J. Ray III, expressed satisfaction with the terms of the agreement, stating, “Starting from the most challenging financial disaster I have ever seen, debtors and creditors have created tremendous value by working together from a situation that could have been almost entirely lost for customers.”</p>
<p style="text-align: justify">The modified repayment plan includes dividing FTX’s assets into three pools: assets allocated for the benefit of FTX customers, assets consisting of U.S. customers, and other general assets. However, FTX’s debtors anticipate that both cryptocurrency exchanges’ customers will not receive full payment and that FTX will likely experience a higher percentage of loss.</p>
<h2 style="text-align: justify" id="250-000-limit">$250,000 Limit</h2>
<p style="text-align: justify">Market observers noted that a portion of the proposed repayment plan envisages a 15% reduction in the amount of claims for customers who withdraw more than $250,000 from the cryptocurrency exchange within nine days after bankruptcy. There will be no deduction for claims below $250,000:</p>
<blockquote>
 <p style="text-align: justify">Eligible customers with a preferred settlement amount of less than $250,000 within the nine-day period can accept the settlement without any reduction in claims or payment.</p>
</blockquote> Continue Reading: <a href="https://en.coin-turk.com/ftx-customers-to-receive-over-90-of-their-assets-following-agreement/" data-wpel-link="internal" rel="noopener noreferrer nofollow">https://en.coin-turk.com/ftx-customers-to-receive-over-90-of-their-assets-following-agreement/</a>

FTX Customers to Receive Over 90% of Their Assets Following Agreement

Table of Contents

COINTURK NEWS

Other articles published on Oct 17, 2023

Scroll.io Achieves Major Milestone with zkEVM Mainnet Launch, Signaling Ethereum’s Scalability an...

Xsolla integrates XRP, boosting crypto in gaming

Layer2 Network Scroll Live on Mainnet

Bitcoin Price Prediction as ETF Rumors Send Daily Trading Volume Above $20 Billion – New Bull Mar...

The Impact of Whales on the Future of Chainlink

Is There an Increased Likelihood of Approval for a Spot Bitcoin ETF? ARK Invest CEO Explains!

Join our free newsletter for daily crypto updates!