Creditor Weiwei Ji has challenged FTX's recent decision to pause payouts to users in countries with restrictive cryptocurrency laws, arguing that this policy unfairly penalizes compliant creditors.
FTX Payout Situation
FTX has filed a motion in court seeking to block payouts for residents in 49 jurisdictions, including China, Russia, Egypt, and Ukraine, citing potential legal consequences for the estate and its directors.
Creditor's Objective Arguments
Weiwei Ji, representing a group of creditors, expressed concern that their rights to payment are being compromised. He noted that his family holds verified accounts with total claims over $15 million.
General Sentiments Among Creditors
Many creditors are unhappy with the payouts being made in U.S. dollars. There are concerns that they would have benefited more if distributions were done in cryptocurrency, given recent price increases in crypto assets.
The situation regarding FTX payouts raises questions about the fairness of policies affecting cryptocurrency assets in contested jurisdictions and highlights growing concerns among creditors.
