In 2025, the cryptocurrency exchange FTX began payments to creditors after its bankruptcy in 2022. However, recent information indicates new obstacles for recipients.
Start of Payments on FTX
At the end of May 2025, FTX users reported receiving their funds. FTX officials announced that the second round of payments worth approximately $5 billion under the bankruptcy plan had officially begun.
Suspension of Payments in Foreign Jurisdictions
The FTX Recovery Trust has temporarily suspended payments to creditors in 49 foreign jurisdictions where cryptocurrencies are restricted or banned. FTX has filed documents in court seeking approval to honor creditor claims from these countries, including China, Russia, and Ukraine.
What's Next for Creditors?
According to the new process, claims from creditors in these 49 countries will not go through the standard payment process and will go straight to contested claims. This means that creditors may have to engage in additional legal battles to get their money back. FTX has requested court approval to proceed with these payments; otherwise, they may be halted.
The situation regarding FTX creditor payments remains uncertain, and users in restricted jurisdictions may face additional challenges in recovering their funds.
