#FTXrepayment Starting on February 19, 2025, FTX began the process of repaying its creditors, marking a significant milestone in the recovery of the cryptocurrency industry. The first phase began on February 18, targeting creditors with claims up to $50,000, referred to as the “Comfort Class.” These creditors are set to receive full repayment of their claims, along with 9% annual interest accrued since November 2022.

The repayment process is facilitated through partnerships with cryptocurrency platforms Kraken and BitGo. Eligible creditors must complete Know Your Customer (KYC) verification and submit the necessary tax documentation to receive their funds. Payments are expected to be processed within one to three business days from the date of initial distribution.

FTX’s total repayment plan aims to distribute between $14.5 billion and $16.3 billion to its customers and creditors. The next round of repayments is scheduled for May 30, 2025, focusing on creditors with claims exceeding $50,000. These efforts underscore FTX’s commitment to addressing the financial disruptions caused by its collapse in late 2022. The initiation of these repayments has sparked mixed reactions within the crypto community. While some see it as a positive step towards restoring confidence and stability in the market, others express concerns about the potential for market volatility, depending on how creditors choose to use their recovered funds.