Policy, FTX, Bankrupt, Sam Bankman-Fried, Top Stories, News The former crypto giant used to be a mainstay in the digital asset ecosystem till a CoinDesk expose in 2022 resulted in the downfall of Sam Bankman-Fried’s empire.
FTX, the once prominent crypto exchange, will begin the next round of cash redistribution on Sept. 30, the bankrupt firm said in a statement on Wednesday.
The firm, which was led by founder Sam Bankman-Fried, started paying back its creditors earlier this year. FTX has repaid nearly $6.2 billion after getting approval for its redistribution plan by the U.S. bankruptcy court.
The former crypto giant used to be a mainstay in the digital asset ecosystem till a CoinDesk expose in 2022 resulted in the downfall of Sam Bankman-Fried’s empire.
In 2023, Bankman-Fried was convicted on seven counts of fraud and conspiracy, and sentenced to 25 years in prison for orchestrating the $11 billion fraud. Although, according to a report, his sentence could be cut by 4 years due to “good conduct.”
FTX also said that it has received court approval to reduce its disputed claim reserve to $4.3 billion from $6.5 billion.
The exchange will distribute the cash through BitGo, Kraken, and Payoneer.
Read more: FTX to Begin $11.4B Creditor Payouts in May After Years-Long Bankruptcy Battle
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