Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
FTX to return $16B to customers after bankruptcy approval

FTX to return $16B to customers after bankruptcy approval

GrafaGrafa2024/10/07 22:35
By:Liezl Gambe

Customers of the collapsed crypto exchange FTX (CRYPTO:FTT) will soon receive $16 billion, following the court's approval of the firm's bankruptcy plan.

On Monday, Judge John Dorsey of the U.S. Bankruptcy Court for the District of Delaware approved the plan after nearly two years of efforts to recover funds and reach settlements, according to *Reuters*.

FTX, once a prominent name in the cryptocurrency industry, unexpectedly went bankrupt in November 2022 due to a liquidity crisis.

Since then, customers have been waiting to get their funds back.

The approved plan will compensate most users with at least 118% of the U.S. dollar value in their accounts as of November 2022.

According to the plan, customers will receive their payments in cash instead of digital assets, which has upset some investors.

These customers initially expected to get their cryptocurrency back, including Bitcoin (CRYPTO:BTC) and other assets that have appreciated in value over the past two years.

FTX co-founder and former CEO Sam Bankman-Fried was arrested and charged with fraud and mismanagement following the exchange’s collapse.

He is currently serving a 25-year prison sentence, though his legal team has recently filed an appeal, arguing that he was "presumed guilty" before the trial even started.

The FTX bankruptcy process has been long and complex, with many customers frustrated by the delays.

The approval of this plan signals an important step forward for those awaiting their money, though some may remain dissatisfied with receiving cash instead of their original crypto holdings.

Nonetheless, the return of $16 billion marks a significant milestone in the aftermath of one of the biggest collapses in the cryptocurrency sector.

At the time of writing, the FTX token price was $2.87.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!