|

FTX creditors closer to repayment, voting on payback plan begins on October 7

  • FTX’s creditors are set to vote on a reorganization plan, this could open doors to repayment soon. 
  • The Official Committee of unsecured creditors put forward a plan post negotiations with debtors and believe that it offers the best case scenario, and call those affected to vote. 
  • The FTX repayment plan’s last minute changes have garnered criticism from traders and creditors on X. 

FTX creditors could soon receive payback of lost funds according to court documents and a call to vote that surfaced online. The official committee of unsecured creditors of FTX called upon investors who lost their funds to the FTX collapse to vote on a proposed repayment plan on October 7. 

The outcome of the vote could accelerate payback for creditors. 

FTX creditors to vote on plan for funds recovery

The official committee of unsecured creditors of FTX negotiated a plan with debtors and called creditors to vote on the same on October 7. According to a document, debtors and the official committee negotiated the payment plan, date value of creditor claims and distributions, finally calling for a vote. 

The October 7 vote could determine the next step in the recovery of user funds in the FTX collapse and bankruptcy. It was previously noted during the bankruptcy process that the crypto assets have noted an enhancement in their value and creditors can be paid back on a dollarized basis. 

Crypto traders expressed their dissent on the last minute changes to the payback plan per their responses on X. 

October 7 is therefore a key date to determine whether the reorganization plan will be put into effect and whether payments to unsecured creditors, exchange users who lost their crypto assets to the collapse will receive their funds. 

Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

More from Ekta Mourya
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

Crypto market outlook for 2026

Year 2025 was volatile, as crypto often is.  Among positive catalysts were favourable regulatory changes in the U.S., rise of Digital Asset Treasuries (DAT), adoption of AI and tokenization of Real-World-Assets (RWA).

Sberbank issues Russia's first corporate loan backed by Bitcoin

Russia's largest bank Sberbank launched the country's first Bitcoin-backed corporate loan to miner Intelion Data. The pilot deal uses cryptocurrency as collateral through Sberbank's proprietary Rutoken custody solution.

Bitcoin recovers to $87,000 as retail optimism offsets steady ETF outflows

Bitcoin (BTC) trades above $88,000 at press time on Tuesday, following a rejection at $90,000 the previous day. Institutional support remains mixed amid steady outflow from US spot BTC Exchange Traded Funds (ETFs) and Strategy Inc.’s acquisition of 1,229 BTC last week.

Traders split over whether lighter’s LIT clears $3 billion FDV after launch

Lighter’s LIT token has not yet begun open trading, but the market has already drawn a sharp line around its valuation after Tuesday's airdrop.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.