Key Takeaways:
- FTX Digital Markets will begin creditor repayments on Feb. 18, starting with claims under $50,000.
- Eligible creditors will receive 100% of their claims plus 9% annual interest accrued since Nov. 2022.
- BitGo will process the repayments, while Kraken’s role in fund disbursement remains unclear.
FTX Digital Markets, the Bahamian subsidiary of the collapsed crypto exchange FTX, will start repaying creditors on Feb. 18.
The repayments will begin with “convenience class” creditors, those with claims under $50,000, who will receive 100% of their adjudicated claims plus 9% annual interest since November 2022.
FTX Repayments: 18 Feb 2025
— Sunil (FTX Creditor Champion) (@sunil_trades) February 4, 2025
Funds available from 10am ET
FTX Claims < $50k
FTX Creditors in the Bahamas process have email confirmation that repayments will start on 18 Feb 2025
9% interest per annum from 11 Nov 2022 pic.twitter.com/FrmDN4qiK7
The distributions will be handled through BitGo, though it’s uncertain whether Kraken will follow the same timeline.
FTX’s bankruptcy process has been ongoing since its November 2022 collapse, with legal efforts to recover lost funds.
If all claims are processed successfully, FTX could distribute over $16 billion to affected users.
The exchange’s reorganization plan took effect on Jan. 3, 2024, and the first group of creditors is expected to receive their funds by early March.
This marks a significant step in compensating users who lost access to their assets amid one of the largest crypto failures in history.