FTX wants to give 98% of its creditors up to 118% of their claims, while the rest will be repaid in full plus “billions in compensation for the time value of its investment.” Surname".
In a May 7 statement , the bankrupt cryptocurrency exchange said the plan “will be finalized and approved” by the Delaware Bankruptcy Court.
“We are pleased to propose a Chapter 11 plan that contemplates repayment of 100% of the bankruptcy claim plus interest for non-governmental creditors”.
That's a change from FTX's previous plan, in which creditors would have been repaid the value of their assets at the time of bankruptcy in November 2022.
Since then, the cryptocurrency market has seen a resurgence, with Bitcoin (BTC) gaining over 200%.
FTX estimates that the total value of assets collected and converted into cash for distribution to creditors will range from 14.5 to 16.3 billion USD.
Only creditors with claims for an allowable amount of less than $50,000 are eligible to receive 118% if approved by the bankruptcy court.
Refunds will occur within 60 days after the refund plan is approved.
