FTX creditors receive the fifth distribution of $900 million from the bankrupt exchange's liquidation proceedings.
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FTX creditors are receiving $900 million in their fifth distribution as the bankrupt exchange continues liquidation proceedings. The payout marks continued progress in returning assets to those affected by the exchange's November 2022 collapse, which resulted in the loss of approximately $8 billion in customer funds.
FTX has distributed over $10 billion to creditors through mid-2026, putting the process on track toward full recovery according to liquidation estimates. The distributions result from the ongoing bankruptcy proceedings initiated after the exchange filed for Chapter 11 protection in November 2022 following a bank run triggered by revelations about misallocated customer deposits.
The specific timing and mechanics of how the $900 million will be allocated across claim categories—and whether original creditors or claims-buyers will capture relative value—remain unclear from available disclosures. The liquidation process continues to unfold across multiple distribution rounds as the estate realizes assets.