FTX Announces New Payouts for September 30: Creditors Must Register by August 15
- What’s Happening With FTX’s Third Repayment Round?
- How Are the Repayments Being Funded?
- Payment Logistics and Market Impact
- Controversial Jurisdiction Clauses
- What’s Next for FTX Creditors?
- FTX Repayment FAQ
FTX has revealed plans for its third round of creditor repayments, set to begin on September 30, with a deadline of August 15 for registration. The bankrupt crypto exchange has already returned over $6 billion to users and could distribute up to $1.9 billion more in this phase. However, some creditors remain dissatisfied due to the missed crypto bull run. Here’s everything you need to know about the latest developments.
What’s Happening With FTX’s Third Repayment Round?
FTX’s bankruptcy team dropped major news on Wednesday (July 23) – the collapsed crypto giant will start distributing its next batch of creditor payments on September 30. But here’s the catch: claimants must register by August 15 or risk getting left out entirely. The court has greenlit up to $1.9 billion for this round, though the actual amount distributed might be lower.
This comes after FTX already paid out $6.2 billion across two earlier distributions – $1.2 billion in February and a whopping $5 billion in May. If they max out this third payment, total reimbursements WOULD surpass $8 billion. Not bad for a company that imploded spectacularly in 2022, right?
How Are the Repayments Being Funded?
The bankruptcy court approved reducing FTX’s creditor reserve from $6.5 billion to $4.3 billion, freeing up cash for these payments. The overall plan aims to return $14.7-$16.5 billion eventually, with 98% of creditors expected to recover at least 119% of their claims based on November 2022 values.
But here’s where it gets messy. bitcoin was around $16,000 when FTX collapsed. Now it’s trading above $120,000. Some creditors argue they’re getting shortchanged by being repaid at 2022 valuations rather than current prices. Can’t say I blame them – that’s like being paid for a 1997 Toyota when you actually owned a 2025 Tesla.
Payment Logistics and Market Impact
Expect payments to Flow through BitGo, Kraken, and Payoneer. Traders are watching closely – these distributions could dump significant liquidity into crypto markets, potentially impacting altcoin prices. Remember when FTX’s May payouts coincided with that brief market dip? History might repeat itself.
The BTCC research team notes: “We’ve seen creditor repayments create temporary selling pressure as recipients cash out, especially from institutional claimants.” This could present buying opportunities once the dust settles.
Controversial Jurisdiction Clauses
FTX’s trustees stirred controversy on July 4 by proposing to automatically cancel claims from “restricted jurisdictions” like China, Russia, and Saudi Arabia. After creditor backlash, the court ordered a revision. The new plan allows affected users to receive payments through alternative jurisdictions.
One Russian creditor told me: “It’s absurd – my money disappeared because of FTX’s fraud, now they want to punish me for my passport?” The court apparently agreed, forcing FTX to backtrack.
What’s Next for FTX Creditors?
With registration opening immediately, affected users should:
- Confirm their claim status on the FTX claims portal
- Submit any required documentation by August 15
- Select their preferred payout method (crypto or fiat)
This article does not constitute investment advice. The repayment process remains fluid – we’ve already seen last-minute court modifications. Stay tuned for updates as the September 30 distribution date approaches.
FTX Repayment FAQ
When is the FTX repayment registration deadline?
Creditors must complete registration by August 15, 2025 to qualify for the September 30 payment distribution.
How much has FTX repaid so far?
FTX has distributed $6.2 billion across two rounds: $1.2 billion in February 2025 and $5 billion in May 2025.
Which countries were affected by the jurisdiction controversy?
The initial proposal impacted creditors in China, Russia, Saudi Arabia, and Pakistan before being revised by court order.
What crypto price was used to calculate repayments?
All repayments are based on cryptocurrency values from November 2022 when FTX filed for bankruptcy.
Where can I track my FTX claim?
The official FTX claims portal (claims.ftx.com) provides status updates and registration tools.
