Backpack has commenced the claims process for former users of the subsidiary FTX Europe, allowing users to recover their funds.
Start of the Claims Process
Backpack officially initiated the first phase of the claims process for former FTX Europe users on April 1st. To recover funds, users must create an account on the Backpack platform, submit KYC information, and link this new account to their old FTX EU claims account. No deadline has been set for this phase, yet fund distribution will start in the second phase. A withdrawal fee of €5 is charged for claims under €2000, and 0.25% of the amount for larger sums.
Clarification on Eligibility and Scope of Reimbursements
Only balances in fiat currencies and pending fiat withdrawals are eligible for reimbursement. Cryptocurrency holders must turn to FTX International. All positions were closed at market prices and settled in euros. Users with pending crypto withdrawals had to file a claim with FTX's bankruptcy procedure in the US. Users registered with FTX before March 7, 2022, must file their claims with FTX International.
Significance of the Initiative for Users
Backpack's initiative is a significant step forward for European victims of the FTX collapse nearly three years ago, providing a glimmer of hope to recover their funds. While companies like BitGo and Kraken have begun reimbursements, initiatives like Backpack's are crucial for the recovery process.
Proceeding with Backpack’s claims process is an important step for former FTX EU users, offering a path and hope to reclaim their funds.
