FTX Bankruptcy Estate Aims to Repay Customers by End of 2024 ๐
The FTX bankruptcy estate has set a goal to begin repaying customers by the end of 2024, according to notes from a meeting of FTX Digitalโs Joint Official Liquidators in the Bahamas.
Parallel Bankruptcy Processes ๐
- FTXโs bankruptcy consists of two separate processes running simultaneously
- The Chapter 11 bankruptcy in a Delaware court in the US
- The official liquidation process of FTX Digital in the Bahamas
- Both processes are due to the intertwined nature of FTXโs accounting
Collaboration for Creditor Benefits ๐ฐ
- Agreement between Chapter 11 Debtors and Joint Official Liquidators
- Creditors can submit claims to either entity
- Ensuring no creditor receives less than their entitlement
First Distribution by 2024 End ๐ฏ
- Shared goal to distribute to creditors with admitted claims and KYC documentation
- Goal reaffirmed in notes from meeting on Mar. 15
Claims Submission Process ๐
- Creditors able to submit claims on FTXโs claims portal since Mar. 1
- Deadline initially set for May 15, expected to extend to June 2024
Valuation Dates โณ
- Bahamian claims and Chapter 11 claims valued as of November 11, 2022
Hot Take ๐ฅ
FTXโs bankruptcy estate is making strides towards repaying customers by the end of 2024. With parallel processes underway and a commitment to creditor benefits, the estate aims to ensure fair value distribution and a seamless claims submission process. Stay tuned for further updates as the estate progresses towards its repayment goals.
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