Fun

FTX Provides Details On $16 Billion Distribution Timeline For Customers And Creditors

News Feed - 2024-11-22 04:11:33

Este artículo también está disponible en español.


The long-awaited resolution for nearly $16 billion in fundsowed to users and customers of the defunct crypto exchange FTX is approaching, as the estate managing the recovery process has outlined the next steps and timeline for distribution.  FTX Nears Completion Of Chapter 11 Plan


In Thursday’s announcement, FTX confirmed that it is nearing the completion of the final prerequisites necessary for its Court-approved Chapter 11 Plan of Reorganization to take effect, marking a significant milestone toward initiating creditor and customer distributions.


John J. Ray III, Chief Executive Officer and Chief Restructuring Officer of the FTX Debtors, expressed optimism about the upcoming distributions, saying that they will begin distributing proceeds in “early 2025”.


Ray emphasized that the timeline reflects the diligent efforts of the team working on behalf of FTX’s creditors and customers, who have reportedly recovered“billions of dollars to date.” He reassured stakeholders that the team is committed to maximizing recoveries and is actively working to finalize arrangements with distribution agents to expedite the return of funds. Related Reading Bitcoin Price Almost Hits $98,000: Key Reasons Behind The Rally 7 hours ago


FTX provided updates on the anticipated timeline for these distributions. In early December, the estate expects to finalize agreements with specialized distribution agentstasked with facilitating the global distribution of recoveries to customers in supported jurisdictions. 


At that time, FTX will provide detailed instructions for affected customers on how to establish an approved account with these agents through the existing customer portal. What Customers Must Know


By the end of December, FTX plans to announce the exact effective date for the distributions, contingent upon a Court Order that will approve the Disputed Claims Reserve Amount—a necessary step outlined in the Confirmation Order. The current expectation is for the Plan to be effective in early January 2025. 


Following this, the first distribution will be made to holdersof allowed claims in the Plan’s Convenience Classes within 60 days. Importantly, the distribution record date will coincide with the effective date, meaning customers will need to be prepared to act swiftly.


For customers to qualify for the initial distribution, they must establish an approved account with a distribution agent and complete Know Your Customer (KYC) verification, along with submitting the required tax forms before the distribution record date. 


Additionally, claims traders should be aware of specific provisions in the Plan regarding tradesmade within 45 days prior to the distribution record date. 


Claims traded during this period may not be reflected on the claims register by the end of business on the distribution record date, which could result in distributions being made to the original claim holders rather than the current traders. FTT Price Reacts To Distribution Announcement


At the time of writing, FTX’s native token, FTT, is trading at $2.36, reflecting a substantial surge of nearly 10% within the past 24 hours. 


Over a longer time frame, the token has posted impressive gains, rising around 40% over the past fourteen days and 18% over the past thirty days, in line with the broader market rally following President-elect Donald Trump’s victory on 5 November. Related Reading Whale Alert: $2 Million PEPE Purchase Sees 105 Billion Tokens Snapped Up 8 hours ago


Datafrom CoinGecko further indicates that FTT has experienced a significant rise in trading volume over the past 48 hours, which has surged by 38%, resulting in over $135 million traded during this period.


However, it is important to note that FTT’s current price remains significantly below its all-time high of $84, reached during the bull market of September 2021, marking a decline of over 97% from its peak value. The daily chart shows FTT’s price uptrend. Source: FTTUSDT on TradingView.com


Featured image from DALL-E, chart from TradingView.com

News Feed

Russia and China De-dollarization Approaching ‘Breakthrough Moment’
Russia and China De-dollarization Approaching "Breakthrough Moment"China and Russia are collaborating to reduce their dependence on the U.S. dollar. Trade settlements in USD between
Eigen Labs acquires Rio Network, opens LRT code
Ana Paula Pereira6 hours agoEigen Labs acquires Rio Network, opens LRT codeThe Eigen Foundation is acquiring Rio Network’s intellectual rights and will open-source its liquid restaking token as a reference implementati
Unnamed South African Investor Proposes Buying 51% Stake in Collapsed Crypto Firm for $5 Million
Unnamed South African Investor Proposes Buying 51% Stake in Collapsed Crypto Firm for $5 Million An unknown investor has proposed to acquire a 51% stake in Africrypt — the c
Ross Ulbricht Uses Elliot Waves to Predict Bitcoin’s Trajectory From Behind Bars
Ross Ulbricht Uses Elliot Waves to Predict Bitcoin’s Trajectory From Behind Bars Ross Ulbricht, serving life without parole for allegedly running the Silk Road marketplace, has
Helen Partz45 minutes agoStablecoin market escaping US regulatory oversight: ChainalysisStablecoin activity has been increasingly occurring through entities that aren’t licensed in the United States, according to Chain
Bitcoin MVRV At Critical Breakout Point – Is A Price Rally Imminent?
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Dogecoin At Make-Or-Break Point After Multi-Year Trendline Test
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Ray Salmond3 hours agoCrypto traders are looking at Dogecoin (DOGE) again — Here’s whyDOGE flashes a rarely seen technical signal that has historically been followed by a parabolic rally.1330 Total views4 Total share
XRP Battles Critical $2.20 Support Level — Will It Target $2.70 Or Slip To $1.96?
Este artículo también está disponible en español. XRP has been trading in a declineover the past few days alongside the broadercryptocurrency market. However, despite thi
Ethereum Positioned For A ‘Major Move Upward’ In 2025, Analyst Forecasts
Este artículo también está disponible en español. According to crypto analyst Titan of Crypto, Ethereum (ETH) could be on the verge of a “major move upward” t
Restaking protocol EigenLayer flips Aave with $10.4B total value locked
Jesse Coghlan3 hours agoRestaking protocol EigenLayer flips Aave with $10.4B total value lockedEigenLayer is now the second-largest DeFi protocol behind Lido after taking Aave’s spot.640 Total views2 Total sharesListen
Biden Slammed for Claiming US Economy Had 0% Inflation in July — One Lawmaker Calls It ‘Sad and Dangerous’
Biden Slammed for Claiming US Economy Had 0% Inflation in July — One Lawmaker Calls It "Sad and Dangerous" President Joe Biden stated Wednesday that the U.S. economy had zero per