FTX Creditors Set for 100%-118% Payout, Announces Crypto Exchange CEO: A Win for FTX Coin (FTT)
- Bankrupt crypto exchange FTX plans to pay over 100% of claims to some creditors, expecting to collect between $14.5 and $16.3 billion for distribution.
- Creditors with claims of $50K or less are set to receive approximately 118% of their allowed claims within 60 days after the effective date of the plan.
- FTX CEO, John J. Ray III, has expressed satisfaction at being able to propose a Chapter 11 plan that contemplates the return of 100% of bankruptcy claim amounts plus interest for non-governmental creditors.
FTX, a bankrupt cryptocurrency exchange, has proposed a plan to pay some creditors more than 100% of their claims, with a total collection expected to be between $14.5 and $16.3 billion. The move is seen as a step in the morally correct direction.
FTX’s Plan to Compensate Creditors
FTX’s plan, which is currently awaiting Bankruptcy Court approval, stipulates that creditors with claims of $50K or less will receive approximately 118% of their allowed claims within 60 days after the effective date of the plan. The Chief Structuring Officer and FTX CEO, John J. Ray III, reinforced the company’s intention to fully compensate creditors, stating, “We are pleased to be in a position to propose a Chapter 11 plan that contemplates the return of 100% of bankruptcy claim amounts plus intere... Read more at COINOTAG.
