FTX bankruptcy judge approves more than $14 billion payback plan two years after exchange collapsed

FTX bankruptcy judge approves more than  billion payback plan two years after exchange collapsed


Nearly two years after FTX spiraled into bankruptcy, a Delaware judge approved the company’s reorganization plan, which involves paying out more than $14 billion to customers of the collapsed cryptocurrency exchange.

“Looking ahead, we are poised to return 100% of bankruptcy claim amounts plus interest for non-governmental creditors through what will be the largest and most complex bankruptcy estate asset distribution in history,” said John Ray, who took over as FTX CEO following the company’s bankruptcy filing in late 2022, in a statement on Monday.

Ray, who also shepherded Enron through bankruptcy, added that the estate is working to finalize arrangements to make distributions to creditors around the world.

The company says it has collected between $14.7 billion and $16.5 billion worth of property for distribution. FTX previously estimated that it owes creditors around $11.2 billion.

According to the plan approved by Delaware bankruptcy Judge John Dorsey, 98% of FTX’s creditors will get 119% of the amount of their allowed claim as of November 2022, when the exchange filed for bankruptcy protection.

The price of bitcoin is up roughly 260% since FTX’s failure. FTX raised the money by selling a number of assets, including venture investments held by the exchange and other investments held by Alameda Research, Bankman-Fried’s crypto hedge fund.

One of FTX’s most high-profile investments was in artificial intelligence startup Anthropic, which is backed by Amazon. FTX sold most of its stake in Anthropic this year for nearly $900 million.

The bankruptcy estate says it will make a separate announcement about the date the payout plan will go into effect and when it anticipates the start of distributions.

FTX founder Sam Bankman-Fried was convicted of seven criminal counts last November, including charges related to stealing billions of dollars from FTX’s customers. He received a 25-year prison sentence.

WATCH: Caroline Ellison sentenced to two years in prison for role in FTX collapse

Caroline Ellison sentenced to two years in prison for role in FTX collapse



Source

AI is doing 30%-50% of the work at Salesforce, CEO Marc Benioff says
Technology

AI is doing 30%-50% of the work at Salesforce, CEO Marc Benioff says

Marc Benioff, Chairman & CEO of Salesforce, speaking on CNBC’s Squawk Box outside the World Economic Forum in Davos, Switzerland on Jan. 22nd, 2025. Gerry Miller | CNBC Salesforce is accelerating its use of artificial intelligence in automating workloads, according to CEO Marc Benioff. “All of us have to get our head around this idea that […]

Read More
Trump Organization scraps ‘made in the USA’ tag for its gold T1 smartphone
Technology

Trump Organization scraps ‘made in the USA’ tag for its gold T1 smartphone

US President Donald Trump uses a cellphone aboard Marine One before it departs Leesburg Executive Airport in Leesburg, Virginia, on April 24, 2025. Trump is returning to the White House after attending a MAGA, Inc. dinner at the Trump National Golf Club Washington, DC. Alex Wroblewski | AFP | Getty Images The Trump Organization scrapped […]

Read More
Blacklisted by the U.S. and backed by Beijing, this Chinese AI startup has caught OpenAI’s attention
Technology

Blacklisted by the U.S. and backed by Beijing, this Chinese AI startup has caught OpenAI’s attention

The Zhipu AI logo is seen displayed on a smartphone screen. Sopa Images | Lightrocket | Getty Images OpenAI is putting a spotlight on an under-the-radar artificial intelligence startup that it believes is on the “front line” of China’s race to lead the world in AI — and its not DeepSeek.  In a blog post […]

Read More