FTX to Distribute $1.9 Billion to Creditors in September

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This round will cover Class 5 Customer Entitlement Claims, Class 6 General Unsecured Claims, and newly approved Convenience Claims that have not yet received any payments.

$1.9 Billion Unlocked Following Court Approval

This move follows a court-approved reduction of the disputed claims reserve by $1.9 billion, unlocking more capital for immediate disbursement to creditors. As in previous rounds, payments will be facilitated by BitGo, Kraken, and Payoneer.

To receive their funds, creditors must complete identity verification (KYC), submit tax documents, and register with one of the approved payment providers. Only verified and properly registered claims will be eligible for payout. Claims that have been transferred must meet strict criteria and appear on the official claims register before the August 15 deadline.

This marks the third major distribution round in 2025. Approximately $470 million in disputed claims remains frozen, including assets linked to accounts in 49 different countries. These will be addressed in future distribution rounds, pending court rulings.

Summary of FTX’s 2025 Repayments So Far

FTX began the repayment process earlier this year with the goal of returning over $14.5 billion to creditors.

On February 18, FTX initiated its first payout to Convenience Class claimants—those with claims under $50,000. These creditors received 100% of their original claims plus approximately 9% interest, calculated from the date of the bankruptcy filing.

The second round took place on May 30, distributing more than $5 billion across multiple claim classes.

The upcoming September 30 payout will prioritize creditors who have resolved disputes and completed all necessary legal and procedural steps.

Updates on Former FTX Leadership

Meanwhile, FTX founder Sam Bankman-Fried remains in prison, though his sentence was recently reduced by four years due to good behavior. However, he is still expected to remain incarcerated until 2044.

In contrast, Caroline Ellison, former CEO of Alameda Research, is scheduled for release on July 20, 2026.

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