FTX to Repay $1.9 Billion in Third Round by September 2025
FTX is moving forward with its bankruptcy repayment process, announcing its next distribution round will begin on September 30, 2025. The official record date is set for August 15.
Details of the Upcoming Distribution
This round of payouts will include:
- Class 5 Customer Entitlement Claims
- Class 6 General Unsecured Claims
- Newly allowed Convenience Claims that haven't yet received funds
Court-Approved Reserve Reduction
This distribution follows a court-approved reduction of the disputed claims reserve by $1.9 billion, freeing up additional capital for immediate distribution.
Similar to previous repayments, FTX has confirmed that BitGo, Kraken, and Payoneer will manage the payments. Creditors must complete KYC, submit tax forms, and onboard with one of these providers to receive their funds.
This marks the third major distribution by FTX in 2025.
Remaining Disputed Claims
Approximately $470 million in disputed claims remain frozen, including funds linked to accounts in 49 countries. These claims will be addressed in future rounds, contingent on court decisions.
FTX’s 2025 Repayments: A Recap
FTX initiated repayments earlier this year, with the goal of returning over $14.5 billion to creditors.
- February 18: The first payout was issued to Convenience Class claimants (claims under $50,000). These creditors received 100% of their original claim plus approximately 9% interest, calculated from the bankruptcy filing date.
- May 30: The second round was launched, distributing over $5 billion across multiple claim classes.
The upcoming September 30 distribution will provide funds to creditors who have resolved disputes and met all legal and procedural requirements.
FTX emphasizes that only approved and registered claims will be eligible for this distribution. Transferred claims must meet strict criteria and be listed on the official register before the August 15 cutoff.
Legal Landscape
Meanwhile, FTX founder Sam Bankman-Fried remains incarcerated and recently received a 4-year reduction in his sentence due to good behavior. However, he could potentially remain in prison until 2044.
Caroline Ellison, the former CEO of Alameda Research, is scheduled for release on July 20, 2026.