- FTX submitted its amended Reorganization Plan and Disclosure Statement, proposing the centralized distribution of nearly all assets
- The distribution plan includes assets managed by FTX's Chapter 11 debtors and those overseen by various entities.
On Tuesday, bankrupt crypto exchange FTX announced that 17 months after submitting Chapter 11 in the District of Delaware, FTX and its related debtors submitted their expected amended Reorganization Plan and accompanying Disclosure Statement to the United States Bankruptcy Court for the District Court of Delaware.
Upon finalization and approval by the Bankruptcy Court, the Plan proposes the centralized distribution of almost all assets associated with FTX at the time of its collapse in November 2022 to customers and other creditors globally, regardless of their location at that time.
"The total value of property collected, converted to cash, and available for distribution will be between $14.5 and $16.3 billion," FTX stated in the announcement.
This total comprises assets managed by the Chapter 11 debtors and those overseen by various entities, including the Joint Official Liquidators of FTX Digital Markets, Ltd. (Bahamas), the Securities Commission of The Bahamas, the Joint Official Liquidators of FTX Australia, the United States Department of Justice, and numerous private parties involved in the recovery operations.
Last month, according to a report, notes from a meeting of the Joint Official Liquidators of the bankrupt cryptocurrency exchange FTX in the Bahamas suggested that the bankruptcy estate is set to repay customers by 2024 end.
Edited by Harshajit Sarmah
