FTX Creditors to Receive 27.5% More in 2025

FTX, the defunct cryptocurrency exchange, has announced the next repayment date for its large creditors, marking a significant step in its ongoing efforts to compensate those affected by its collapse. Sunil Kavuri, the representative for FTX creditors, revealed that the next distribution of claim payments will occur in the fourth quarter of 2025, specifically between October and December. This repayment is aimed at fully compensating creditors with claims exceeding $50,000, who have thus far received only 72.5% of their initial claim value. The upcoming distribution will cover the remaining 27.5% of their claims, ensuring that these large creditors receive 100% of their claim value. Additionally, these creditors are entitled to post-petition interest, which ranges from 40% to 80%.

The repayment schedule for FTX creditors began on February 18, 2025, with small creditors—those with claims under $50,000—receiving 120% of their initial claim value. This initial distribution was followed by a second round on May 30, 2025, where creditors with claims over $50,000 received 72.5% of their initial claim value. The funds were distributed within three business days of the announced date. Kavuri also suggested that the repayment schedule could extend into 2026 or 2027, depending on the progress of the compensation process.

The collapse of FTX in November 2022 marked a pivotal moment in the cryptocurrency industry, leading to the bankruptcy of the exchange and the sentencing of key executives. Founder Sam Bankman-Fried was sentenced to 25 years in prison for his role in mismanaging users’ funds. Other executives, including Alameda Research CEO Caroline Ellison and FTX Digital Markets CEO Ryan Salame, received jail terms of two and seven-and-a-half years, respectively. Since the collapse, FTX has been working diligently to reimburse users, with repayments commencing earlier this year. However, the disbursement process has faced criticism for valuing users’ claims at token prices as of the time of the bankruptcy filing in late 2022, despite the significant rally in crypto prices since then.