FTX is scheduled to issue its fifth creditor payout of approximately $900 million on July 31, 2026, with most recipients set to recover more than their original claims. The distribution will come from the FTX Recovery Trust, which is managing the liquidation of the bankrupt exchange.

Details of the Fifth Distribution

The payout follows the court-approved bankruptcy plan that ranks creditors and specifies their repayment amounts. International and US customers will receive a 5% to 9% bonus on top of their claims, totaling 105%. Other creditor groups are allocated 103%, while those with smaller claims under $50,000 will receive up to 120% of their original amounts.

This marks the fifth round of disbursements since 2025, with prior distributions totaling about $10 billion, including a $2.2 billion payout in March. The full repayment plus interest is unusual in exchange bankruptcies, where creditors typically recover only a fraction of their funds.

Sunil Kavuri, an outspoken creditor who lost roughly $2.1 million in the 2022 collapse, noted the annual interest rate applied is around 9%, calculated from November 2022 when FTX failed under founder Sam Bankman-Fried. The wind-down operation, led by restructuring expert John Ray III, has raised more than $14 billion through asset sales, including a $1.3 billion stake in AI company Anthropic, which would be worth significantly more today.

However, claims are valued at 2022 prices, meaning creditors accepting cash payouts may have missed out compared to simply holding crypto assets, which have surged since then. The enhanced 9% boost for international customers partially closes the gap as they initially received less and faced disputes over foreign claims.

Preferred shareholders will also receive a second payment of $18 million on July 31, bringing their total recoveries to $95 million a rarity in bankruptcies.

FTX has not announced details for a sixth distribution but cautions that claim buyers must wait 21 days after acquisition to qualify. The company also warns users about scams, emphasizing it will never request wallet connections.

This content is for informational purposes and does not constitute financial advice.