Aftermath of the FTX Collapse
The aftermath of the FTX collapse has yet to subside.
17:47 FTX will dismiss claims of approximately $2.5 billion related to authentication errors
ChainCatcher news, according to DL News, FTX announced that approximately $2.5 billion in customer claims have been canceled due to nearly 400,000 users not completing identity verification (KYC) by March 3. According to documents from the Delaware bankruptcy court dated April 2, 392,000 claims have been completely dismissed and removed, involving up to 2,377 pages.Although the initial estimate of unverified claims was about $1 billion, creditor representative Sunil Kavuri stated that the actual amount could exceed $2.5 billion, which includes $655 million in small claims and $1.9 billion in large claims.These canceled claims are part of the total $33.6 billion in disputed claims that FTX expects to reject. FTX stated that this process is crucial for addressing the failures of the previous management in user data collection and due diligence.
15:55 FTX creditors representative: Kraken has started sending emails to FTX users
ChainCatcher news, FTX creditor representative Sunil posted on social media that Kraken has begun sending emails to FTX users, confirming that the next round of FTX payout distribution is scheduled for May 30, 2025. This distribution covers claims both below and above $50,000.
14:58 FTX first round of repayment: 11.2 million SOL about to be unlocked raises market selling pressure anxiety
The massive circulation expectations of SOL have raised market concerns, and the aftermath of FTX's asset sell-off will once again impact the crypto ecosystem. Is it an excessive spread of panic, or are the risks not fully priced in yet?
13:27 SBF believes that if he continues to handle the liquidity issues himself rather than letting the law firm take over, the funds will be safe
ChainCatcher news, FTX's former CEO and co-founder SBF stated in an interview with the New York Sun while in Brooklyn prison that he believes he was wrongfully convicted.SBF said his biggest mistake was allowing Sullivan & Cromwell law firm to take over FTX in November 2022. He indicated that he should have continued to handle the liquidity issues instead of letting the firm take over and mislead clients.As a result of this decision, millions of clients were told that their funds were depleted and had to wait two years before they started receiving payments, while SBF believes that these funds should have been safe from the beginning.
08:07 FTX: The next round of repayment distribution is expected to begin on May 30, 2025
ChainCatcher message, FTX announced that it has begun the first distribution of repayments to holders of approved claims in the Convenience Classes under the FTX Chapter 11 reorganization plan. Customers are expected to receive funds within 1 to 3 business days.The expected registration date for the next distribution is April 11, 2025, applicable to holders of approved FTX Class 5 customer equity claims and Class 6 general unsecured claims, both defined under the reorganization plan.For Convenience Claims that were approved after the initial registration date but have not yet received distributions, the next registration date is also set for April 11, 2025. The next distribution is expected to begin on May 30, 2025.
15:11 The 11.2 million SOL from the FTX bankruptcy auction will be unlocked on March 1, worth approximately $2.06 billion
ChainCatcher news, according to @ai_9684xtpa monitoring, 11.2 million SOL from the FTX bankruptcy auction will be unlocked on March 1, worth $2.06 billion.FTX has sold 41 million SOL in three auctions.
15:49 FTX has sent emails to creditors with claims under $50,000, and there are still about $345 million in claims from creditors who have not completed KYC verification
ChainCatcher news, according to FTX creditor representative Sunil, FTX has sent emails to creditors with claims of less than $50,000, notifying them about the initial allocation of funds. These creditors need to register through allocation service providers (such as Bitgo or Kraken) and authorize the providers to receive and disburse the allocation funds on their behalf. Currently, FTX has transferred the first batch of funds to these allocation service providers.At the same time, some creditors show that their claim status is disputed on the FTX creditor portal. Creditors with claims of less than $50,000 still have approximately $345 million in claims that have not completed KYC verification.
08:49 FTX: Creditors in the initial allocation will receive compensation assets within 1-3 business days
ChainCatcher news, according to official news, FTX will begin initial distributions to allowed claim holders in its Chapter 11 restructuring convenience class on February 18, 2025. The initial distribution is limited to claim holders in the convenience class allowed by the plan prior to the completion of the distribution. Eligible creditors should receive their distribution within 1 to 3 business days starting from February 18, 2025.
11:23 During the FTX repayment process, which cryptocurrencies will bear the massive selling pressure?
FTX's on-chain address has a total asset of 1.475 billion dollars, with the largest holding being FTT, valued at approximately 680 million dollars.
21:24 FTX bankruptcy administrators accused of misusing funds to pay for luxury hotels and travel expenses, creditors file lawsuit
ChainCatcher news, FTX's bankruptcy administrator is being sued by creditor Lidia Favario for extravagant spending. Favario pointed out that the bankruptcy administrator's expenses during the handling of the FTX bankruptcy proceedings were excessively luxurious, including high-end hotel accommodations and exorbitant transportation costs. She mentioned that A&M professionals spent $971.74 for one night at a luxury hotel in New York, and one professional spent $1,733 on a taxi.Additionally, FTX paid $2,683 to have three taxis wait for CEO John Ray's testimony. Favario is urging the court to expand the review of expenses to ensure compliance with the Department of Justice's reasonable spending standards.
