FTX Begins Second Round of Creditor Payouts Amid Ongoing Disputes

The FTX Recovery Trust has initiated a new $5 billion round of reimbursements, starting May 30, for creditors who completed the necessary steps.

This marks the second major distribution since the collapse of the exchange.

The latest payouts include 72% for Dotcom customers, 54% for U.S. customers, and 120% for those with Convenience Claims. General unsecured creditors and digital asset loan claimants are both set to receive 61%. Funds will be transferred via Kraken and BitGo within a couple of business days.

Observers are closely watching how this influx of funds could affect crypto markets. Large-scale redemptions or asset swaps could introduce volatility, especially if recipients move quickly to sell.

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The first payout round, which went out in February and totaled $1.2 billion, was aimed at claimants with under $50,000 in losses. Some analysts suggested that a notable portion of those funds may have reentered the crypto ecosystem.

Still, the reimbursement process has faced backlash. Legal rulings have locked claim values to prices from November 2022—when Bitcoin traded near $16,000—meaning many creditors recovered just 10%–25% of what their crypto would be worth today.

Investor Sunil Kavuri, a vocal critic of the process, also highlighted that citizens of 163 countries remain excluded from any reimbursement—among them Egypt, Iran, Russia, Pakistan, and Greenland. For many, the return of funds offers limited comfort after deep losses and legal restrictions.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.