FTX Announces Fifth Payout Round: Compensation Exceeds $10 Billion
Crypto exchange FTX is launching a new $900 million payout round.
1FTX's Compensation Process
Following its bankruptcy, FTX is making compensation payments to creditors. The fifth payout round will begin on July 31, 2026, distributing approximately $900 million. Total compensation has now exceeded $10 billion. Payments are calculated based on cryptocurrency values at the time of bankruptcy in November 2023.
2Details of the Payment Plan
FTX's compensation plan was approved by the court in October 2024. Total claims amount to $16-$17 billion. Customers receive cash compensation based on crypto asset values at the time of bankruptcy. This approach creates varying outcomes for different customers due to cryptocurrency market fluctuations.
3Previous Payout Rounds
FTX has conducted four payout rounds so far. The first round in February 2025 addressed small claims under $50,000 with 119% compensation. The second round distributed $5 billion. The third and fourth rounds paid out $1.6 billion and $2.2 billion respectively, each focusing on different creditor groups.
4Features of the Fifth Round
The fifth round will compensate both large and small creditors, with small creditors representing about 9% of the total payout. Compensation rates will be 120% for small creditors and 105% for large ones. Creditors must complete account verification to receive payments.
5Actual Compensation Rates
While FTX mentions compensation rates up to 120%, creditor Sunil Kavuri reports actual rates between 9%-46%. This discrepancy stems from cryptocurrency value increases since the bankruptcy. Kavuri argues FTX's calculations don't reflect current market conditions.
6Significance of the Process
FTX's compensation process sets an important precedent for customer protection in crypto industry bankruptcies. Its transparency and fairness will serve as a reference for future cases. Additionally, it may prompt crypto exchanges to reevaluate their risk management practices.
Original article: INCRYPTED — FTX 5. Ödeme Turunu Duyurdu: Tazminatlar 10 Milyar Doları Aştı