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Defunct crypto exchange FTX will distribute its next repayments to creditors on Sept. 30, marking the third major payout in its ongoing multi-billion-dollar repayment plan.
The expected payout, detailed in a July 23 statement, comes after FTX received authority from the Bankruptcy Court “to reduce the disputed claims reserve by $1.9B billion, from $6.5B to $4.3B, releasing cash to be distributed to holders of allowed claims in the Next Distribution.”
While the full amount is available, FTX has not yet specified how much of it will be included in the September payout, which is likely to be performed through BitGo, Kraken and Payoneer.
The company has set Aug. 15 as the cut-off date for creditors with approved claims.
FTX Has Already Paid Out $6.2 Billion
The firm started paying back creditors earlier this year, and has already paid out nearly $6.2 billion after its redistribution plan was approved by the US bankruptcy court.
That amount was paid out in two tranches. The first distribution of $1.2 billion took place in February. A few months later in May the firm then paid out another $5 billion to creditors. Overall, the repayment plan aims to distribute between $14.7 billion and $16.5 billion.
Around 98% of the creditors are expected to receive at least 119% of their claims based on value at the time the company went bankrupt.
Some creditors have, however, criticized the firm’s repayment plan, noting that the crypto market has appreciated significantly since FTX filed for bankruptcy in 2022.
FTX Tries To Reverse Claims For “Restricted Jurisdictions”
While FTX prepares to repay some of its creditors at the end of September, others might not be reimbursed.
On July 4, the FTX Recovery Trust submitted a motion asking the court to approve new measures for payments to creditors in “restricted jurisdictions,” where distributions would be deemed illegal.
FTX: Restricted countries
Disputed claims49 Jurisdictions -5% allowed claims in restricted countries 82% of value in China
Due to local laws that 1) crypto currency trading is not permitted or 2) distributors not allowed pic.twitter.com/wCEfAOFyaD
— Sunil (FTX Creditor Champion) (@sunil_trades) July 3, 2025
That could see claims from creditors in regions such as China, Russia, Saudi Arabia and Pakistan reversed and forfeited. The proposal has already drawn criticism from investors in these jurisdictions.
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