FTX announces that it will conduct the second distribution according to the Chapter 11 reorganization plan, starting on May 30, 2025 for creditors allowed in the plan facilitation and non-facilitation categories who have completed pre-distribution requirements. Eligible creditors should expect to receive funds within 1 to 3 business days from their chosen distribution service provider (BitGo or Kraken) starting May 30, 2025. The second distribution follows the priority order specified in the plan: - Allowed 5A category customers (FTX.com customers with claims over $50,000 on the application date) will receive 72% of equity claims - Allowed 5B category customers (FTX.US customers with claims over $50,000 on the application date) will receive 54% of equity claims - Allowed Class 6A general unsecured claims (suppliers, litigation/fraud claims, etc.) and Class 6B digital asset loan claims (remaining portion of BlockFi unsecured claims) will each receive 61% distribution - Allowed Class 7 convenience claims (claims under $50,000 on the application date) will receive 120% distribution Over $5 billion is expected to be distributed. FTX Recovery Information Program Administrator John J. Ray III stated: "This first non-facilitation asset distribution is a significant milestone for FTX. The scale and breadth of the FTX creditor group make this distribution process unprecedented, and today's announcement reflects the exceptional achievements of our professional team in recovery and coordination efforts." Customers and creditors must complete the following before the distribution record date: - Log into the FTX Customer Portal (https://claims.ftx.com) (for customers) - Complete required KYC verification - Submit required tax forms - Select and register with distribution service providers BitGo or Kraken FTX also reminds customers to be wary of phishing emails appearing to be from FTX and fraudulent websites mimicking the FTX customer portal. Risk Warning: Cryptocurrency investments carry high risk, with potentially significant price volatility. You may lose your entire principal. Please carefully assess the risks.
On the path of investment and finance, "self-delusion" is often the greatest enemy. Professional risk manager Santisa recently published a profound reflection on social platform X, reminding traders that only through precise record-keeping and rigorous benchmarks can they truly examine investment performance and make more rational financial decisions. This article is more than just an investment advice; it is a lesson in self-awareness and honest dialogue about financial management.
He admits that he once tried to beautify investment data, ignore wear and transaction fees, and even underestimate the calorie intake of a cake in fitness records and overestimate the exercise effect of the gym; these behaviors reflect a psychology of avoiding failure and imperfection.
The Cost of Illusory Victory: Not Every Profitable Trade is a Good Trade
A conversation with a friend reveals many investors' blind spots. When the other party boasts of a 12% return, without comparing it to the S&P 500 index's 25% increase that year, they are actually taking on higher risks without generating any excess returns. Santisa points out:
If investors do not set an appropriate benchmark or comparison, they cannot understand whether their risk-return ratio is reasonable, ultimately falling into a self-hypnotic optimism.
Recording and Comparing: How to Truly Evaluate Investment Performance?
To this end, Santisa suggests that investors carefully record the returns, cash flows, and fees of each investment, and clearly distinguish between personal net assets and investment portfolios to avoid interference from income and expenses. When choosing a benchmark, it should also vary depending on the asset type: "For stocks, you can compare with SPY, QQQ, and for cryptocurrencies, refer to BTC or ETH."
Measuring performance is not based on intuition, but through strict comparison to understand the truth.
He adds, "More cautious investors can establish a β value (Beta) for the intended investment target to measure its volatility and performance compared to a specific token."
What Can Be Exchanged for Risk? Viewing Real Returns Through the Sharpe Ratio
To understand whether the risk is worthwhile, Santisa also introduces the "Sharpe Ratio" as a measurement standard, as a key indicator that considers asset returns, volatility, and risk-free interest rates:
If the return rate cannot compensate for the risk brought by volatility, then that investment strategy has no value in execution.
Using the lending protocol AAVE as an example, he emphasizes that in the DeFi world, one must also consider protocol risks, stablecoin risks, cross-chain risks, and other stacked risks, and set a minimum "deserved return threshold".
Only with Honesty as a Shield Can One Survive in Investments
The temptation of high returns is like a mirage. Santisa points out that there were products with 20% returns that moved him, but he ultimately chose to exit based on risk benchmarks, successfully avoiding disasters like the Terra (UST) collapse. He emphasizes: "Rationality and discipline are the fundamental keys to long-term investment success."
(The Past and Future of DeFi Stablecoins: Written After the Terra UST Collapse)
Santisa also quotes Fyodor Dostoevsky's famous saying, reminding investors that to achieve success in investments, they must bravely face performance and risks, neither avoiding nor beautifying:
A person who cannot be honest with themselves will lose the ability to judge the truth of the outside world.
Risk Warning
Cryptocurrency investments carry high risks, and prices may fluctuate dramatically. You may lose all of your principal. Please carefully assess the risks.
