FTX Advances Bankruptcy Plan With $2.2B Fourth Payout to Creditors

Bankrupt crypto exchange FTX is preparing to send roughly $2.2 billion to creditors as part of the next phase of its restructuring process.

According to the official announcement, the payments, scheduled for March 31, 2026, will be carried out through the FTX Recovery Trust under the company’s Chapter 11 plan approved by a U.S. bankruptcy court.

Eligible recipients are expected to receive funds within one to three business days via designated distribution providers after the transfer date.

Customers near full recovery in some categories

The latest payout will be distributed across several claim classes according to court-defined priority rules. U.S. customer entitlement claims are set to reach full reimbursement cumulatively, while international customer claims and unsecured creditors will receive additional percentages, bringing them close to completion.

Smaller “convenience” claims, typically lower-value accounts, are projected to exceed original balances due to interest and settlement adjustments.

Distribution routed through service providers

Creditors who opted into the process will receive funds through approved intermediaries rather than directly from FTX. Selected providers include Kraken, BitGo, and Payoneer. To qualify for payment, claimants must complete identity verification, submit tax documentation, and finalize onboarding with their chosen provider before the applicable record date.

Once enrolled, creditors effectively assign distribution handling to these platforms, which then credit the funds to user accounts.

Preferred shareholders next in line

FTX also outlined a separate timeline for investors holding preferred equity interests. An April 30, 2026, record date has been set to determine eligibility for initial payments scheduled for May 29, funded through a dedicated remission trust.

Participants must verify ownership, complete compliance checks, and submit required documentation to receive distributions.

SBF’s social media moves

The payout announcement comes a month after FTX co-founder Sam Bankman-Fried shared remarks on FTX’s trial and his prosecution. He is currently serving a prison sentence for fraud, resurfacing in public discourse in February with a series of posts on X.

In the thread, he alleged that his prosecution was driven by political motives tied to the administration of Joe Biden. He claimed the U.S. Department of Justice withheld evidence that would have shown the exchange was solvent and pressured associates to help secure a conviction.

Moreover, Bankman-Fried framed himself and former FTX executive Ryan Salame as targets of what he described as politically motivated prosecutions. He argued that restrictions such as gag orders prevented him from presenting exculpatory evidence and claimed that legal authorities discouraged defendants from mounting full defenses. However, these assertions have not been validated in court findings.

Ongoing recovery effort

The exchange’s collapse in late 2022 triggered one of the largest bankruptcies in crypto history, affecting millions of users worldwide.

Since then, administrators have been liquidating assets, pursuing legal claims, and consolidating funds to repay customers and creditors. Future distribution rounds are expected as additional assets are recovered or monetized.

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