FTX plans full pay back of all creditors ‘plus billions in compensation’

Under the plan, 98% of FTX creditors will get up to 118% of their claims back — the remainder will receive all of their claims “plus billions in compensation,” says FTX.

FTX wants to give 98% of its creditors up to 118% of their allowed claims, while the rest will get fully repaid plus “billions in compensation for the time value of their investments.”

In a May 7 statement, the bankrupt crypto exchange said the plan was “subject to being finalized and approved” by a Delaware Bankruptcy Court.

“We are pleased to be in a position to propose a Chapter 11 plan that contemplates the return of 100% of bankruptcy claim amounts plus interest for non-governmental creditors,” said FTX CEO and chief restructuring officer John J. Ray III.

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