FTX Official Liquidators Informs Creditors To Submit Electronic Claims Before May 15

Key Points:

• FTX official liquidators said that customers and creditors can now submit claims electronically before May 15, 2024.
• The company pledges to reimburse customers in USD, prioritizing a fair repayment amid liquidation.

Joint official liquidators (JOL) overseeing the liquidation of FTX Digital Markets (FTX Digital) have announced the activation of the FTX Digital claims portal for customers and non-customer creditors.

Read more: FTX Collapse Connects To CFTC vs. Binance Event And Its Consequences

FTX Official Liquidators Launches Claims Portal for Customers and Creditors

This portal allows eligible parties to submit claims, view their FTX account balances, and complete electronic claims within the Bahamian liquidation process. The FTX official liquidators said that claims must be submitted electronically before the May 15, 2024, deadline to qualify for distribution.

Managed by PricewaterhouseCoopers (PwC) on behalf of the FTX official liquidators, the FTX Digital claims portal will facilitate the distribution process, with the first interim distribution expected by late 2024 or early 2025.

FTX Digital Markets Limited, the regulated entity for the FTX International Platform, has reached a significant settlement with FTX Trading Ltd. and affiliated debtors under Chapter 11 Proceedings.

FTX Pledges Majority Asset Use for Customer Reimbursement

The FTX official liquidators overseeing the liquidation process of FTX Digital Markets have stated that further details regarding distribution will be provided in due time.

Notably, the current pricing for claims on prominent cryptocurrency assets listed on the FTX platform includes Bitcoin (BTC) at $16,871 USD, Ethereum (ETH) at $1,258 USD, Solana (SOL) at $16.24 USD, and Binance Coin (BNB) at $286 USD.

In a bid to ensure fair treatment, FTX and FTX Digital Markets agreed in 2023 to pool assets and standardize valuation approaches for customer claims. This settlement empowers most customers of the FTX international crypto exchange to choose between U.S. bankruptcy or Bahamian liquidation for repayment.

FTX, which faced collapse in November 2022, has committed to using at least 90% of its assets to reimburse customers in USD, rather than cryptocurrency, underscoring its dedication to customer repayment.