FTX set August 15 as record date for Next Distribution to eligible claim holders
- FTX announced on Wednesday that the anticipated record date for the next distribution will be August 15.
- The distribution applies to holders of Class 5 Customer Entitlement Claims, Class 6 General Unsecured Claims, and outstanding Convenience Claims.
- A court-approved $1.9 billion reduction in the disputed claims reserve will fund the payout.
The defunct FTX exchange announced on Wednesday that the anticipated record date for the next distribution will be August 15, with payments expected to begin around September 30. Creditors with allowed Class 5 Customer Entitlement Claims, Class 6 General Unsecured Claims, and outstanding Convenience Claims can apply for claims.
FTX creditors to receive claims by September 30
On Wednesday, the defund FTX exchange announced the "Next Distribution" record date, set for August 15, with distribution expected to commence on or about September 30, in its press release.
The window allows holders to claim Class 5 Customer Entitlement Claims and Class 6 General Unsecured Claims, as well as outstanding Convenience Claims, that became allowed after earlier cutoffs and have not yet been paid.
In the same press release, FTX announced that it had received authority from the Bankruptcy Court to reduce the disputed claims reserve by $1.9 billion, from $6.5 billion to $4.3 billion, releasing cash to be distributed to holders of allowed claims in the Next Distribution.
FTX's Distribution service providers will be BitGo, Kraken, and Payoneer for the Next Distribution. Creditors should continue to complete their Know Your Customer (KYC) verification for the payments.
Author
Manish Chhetri
FXStreet
Manish Chhetri is a crypto specialist with over four years of experience in the cryptocurrency industry.
