FTX Trading Ltd. and FTX Recovery Trust announced today that they will distribute more than $ 5 billion to eligible creditors as of May 30, 2025, as part of the second payment under their bankruptcy reorganization plan.
Payments, linked to the FTX chapter 11 reorganization plan, will provide eligible creditors with a substantial part of their allowed claims, which mark a fundamental moment in the efforts of conflict exchange to recover from their catastrophic fall in November 2022.
The second distribution includes payments in convenience and conversions classes. According to judicial documents and the details published on Friday, the distributions will be the following:
- CLASS 5A DOTCOM Customer rights claims: 72%
- Class 5b Customer Rights Claims. UU.: 54%
- Classes 6th General Claims and Claims of Digital Assets 6b: 61%
- Class 7 Convenience claims: 120%
The funds will be delivered through Bitgo or Kraken, the distribution partners approved by the Court, with the beneficiaries who are expected to receive their money within one or three business days after the disbursement of May 30.
A long way to recovery
The payment represents a milestone won with such effort for the FTX Recovery Trust, led by the restructuring of the veteran John J. Ray III, who assumed the position of CEO after immediately of the criminal accusation and the criminal accusation of the founder Sam Bankman-Fried. Ray called the second round of distributions “an important milestone”, praising the “outstanding success” of the asset recovery effort and reiterating the continuous approach of the team in maximizing returns for creditors.
Payment relations, especially 120% for convenience claims, reflect a surprisingly solid recovery, considering the $ 8 billion hole scale in the FTX balance when it was declared in bankruptcy. Legal analysts and industry observers say that progress has exceeded the initial expectations, promoted by the aggressive recovery of assets, favorable cryptography market conditions and strategic sales of FTX capital bets in companies such as Anthrope, Solana and Mysten Labs.
FTX’s judicial presentations revealed earlier this year that the heritage had obtained more than $ 14.5 billion in assets, a surprising change for a company whose internal controls were described by Ray as “a complete failure.”
Institutional Degree Process
Despite progress, the payment process remains legal and operationally complex. The creditors must have completed the KYC verification, send the required fiscal documents and have addressed with Bitgo or Kraken through the FTX claims portal. Those who do not meet these conditions on the next registration date will lose future distributions until their eligibility is restored.
In particular, when choosing a distribution service provider, customers renounce their right to receive distributions directly from FTX, irrevocably delegating payment to your selected supplier. The trust has emphasized that the problems related to the receipt of funds after the distribution must be directed to the customer service of Bitgo or Kraken, not to the FTX Recovery Trust.
Bankruptcy, judgments and a changing cryptographic panorama
The news occurs in the midst of the broader consequences of the FTX scandal, which has remodeled cryptographic regulation and the feeling of investors worldwide. Sam Bankman-Fried was sentenced to 25 years in a federal prison in March 2025 for fraud, conspiracy and money laundering, after a high profile trial that presented deep failures in risk management and governance in the exchange once held.
Meanwhile, US regulators and international guards have increased the scrutiny of centralized cryptographic platforms, with the FTX saga serving as a case study in the dangers of opaque corporate structures and insufficient supervision.
However, ironically, the bouncing of the cryptographic market, built by a wave of APOT Bitcoin ETF approval and a renewed institutional interest, has helped FTX’s ability to return funds to creditors. The increase in assets prices, especially in early 2025, allowed heritage to liquidate favorable assessments, significantly contributing to the distribution group.
What is still for creditors?
The FTX announcement hints more distributions ahead, but does not specify the timeline or size of the next payments. Future payments will depend on the resolution of the remaining litigation and claims awards, as well as possible actions and recoveries of assets still in progress.
A small but vowel of Creditors FTX continues to advocate for cryptographic distributions “in kind”, instead of cash conversions, the argument that would have recovered more if the heritage had distributed assets in its original form. However, the reorganization plan approved by the Court prioritizes payments equivalent to the Fiat based on assessments of the bankruptcy era.
In a recent meeting of creditors, Ray reiterated that the “fiduciary duty of the team is to maximize the patrimonial value” while adheres to the bankruptcy code. Legal experts say that while the frustrations of the creditors are understandable, the plan offers one of the best recovery rates in the recent history of cryptographic bankruptcy.
As it approaches May 30, tens of thousands of creditors can finally see a partial resolution to a saga that began with what was once the second largest cryptographic exchange in the world and ended in a history of excess, deception and collapse warning. While many are still counting losses, the second distribution of FTX marks an unexpected and hard funds on a cryptographic panorama that is slowly rebuilding confidence.
Read also: Pharos launches Testnet to feed the scalable rwa tokenization
Discharge of responsibility: The information provided in Alexablockchain is only for informative purposes and does not constitute financial advice. Read the discharge of complete responsibility here.
Image credits: Red Pharos
