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<p>FTX Trading Ltd. announced a $1.6 billion payout to its creditors, scheduled for September 30, 2025, as part of its Chapter 11 bankruptcy proceedings.</p>
<p>These distributions address creditor claims under court supervision, stirring debate over valuation dates and fueling further legal challenges amid existing market volatility.</p>
<p>FTX will distribute <strong>$1.6 billion to creditors</strong> on September 30, 2025. This forms part of court-approved Chapter 11 plans following its 2022 bankruptcy.</p>
<p>The distribution under the FTX Recovery Trust follows a reduction in disputed claims. The payout, handled by BitGo, Kraken, and Payoneer, reflects a decrease in reserved funds from $6.5B to $4.3B.</p>
<h2 id="muted-market-response-to-usd-based-payout">Muted Market Response to USD-Based Payout</h2>
<p>Market response has been muted due to the payout's USD basis, not in crypto. This lowers the expected financial impact, especially for major assets like BTC and ETH.</p>
<p>Creditors remain frustrated with payouts based on bankruptcy-era valuations. Claims from China and restricted regions remain contested within U.S. legal proceedings.</p>
<h2 id="ftx-and-mt-gox-echoes-of-delayed-payouts">FTX and Mt. Gox: Echoes of Delayed Payouts</h2>
<p>The FTX payout mirrors Mt. Gox's scenario, where delayed repayments occurred under historical price settings. Such cases often lead to prolonged legal challenges.</p>
<p>Experts suggest prolonged legal proceedings will follow as stakeholders seek updated valuations. Market observers note minor effects on current liquidity due to USD settlement of claims.</p>
<blockquote>
 Sunil Kavuri, FTX Creditor Advocate: "The upcoming $1.9 billion distribution will nearly certainly exclude creditors in China and other countries flagged in a motion on restricted jurisdictions. Their claims have not been allowed yet and are unlikely to be allowed by the record date on Aug. 15."
</blockquote>
<blockquote class="twitter-tweet"><a href="https://twitter.com/sunil_trades/status/1948131744512909461?s=46&amp;t=ZgVzTNgYAEZklnog3lNCOA" rel="noopener noreferrer nofollow"></a>
</blockquote>
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    <td><em><strong>Disclaimer</strong>: This <a href="https://www.kanalcoin.com/" target="_blank" rel="noopener noreferrer nofollow"><strong>website</strong></a> provides information only and is not financial advice. Cryptocurrency investments are risky. We do not guarantee accuracy and are not liable for losses. Conduct your own research before investing.</em></td>
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</figure> <a href="https://www.kanalcoin.com/ftx-2025-creditor-distribution/" rel="noopener noreferrer nofollow">Read original article on kanalcoin.com</a>

FTX to Release $1.6 Billion to Creditors by 2025

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