FTX creditors to receive $7.1 billion so far as bankruptcy estate seeks new distribution

The FTX Bankruptcy Foundation has made significant progress in returning funds to creditors, distributing $7.1 billion in three rounds to date.

This update comes from creditor representative Sunil Kavri, who confirmed the development in a recent post on X..

The once prominent cryptocurrency exchange went bankrupt in November 2022, but continues to unravel one of the digital asset industry’s most complex financial failures.

The next round of payments will take place in January 2026, with eligibility finalized in December 2025. This is the fourth major distribution since the estate began returning salvaged assets earlier this year.

FTX real estate value and recovery progress

Notably, FTX Real Estate’s net worth is estimated at $16 billion to $17 billion, according to ongoing bankruptcy filings. Through asset liquidations and settlements, the estate recovered between $14.7 billion and $16.5 billion.

These solid recovery numbers indicate that the repayment plan is progressing in line with the expectations set by the court-approved reorganization plan.

Small creditors receive full repayment

The first round of payments focused on small creditors with claims of $50,000 or less. This group is classified as convenience class and has received full repayment amounting to approximately 119% of the original bill amount. This total includes a 9% annual interest rate to reflect accrued earnings.

Subsequent distributions targeted a broader range of claimants, including not only Alameda Research’s trading partners, but also U.S. and dot-com customers. Recovery rates for these creditors vary by claim type, with typical unsecured loan and digital asset loan claims receiving up to 85% cumulative payout.

Unprecedented recovery for shareholders

Furthermore, in an unusual development in a bankruptcy case, FTX shareholders may also receive a portion of the recovered funds. Companies such as Singapore’s Temasek could stand to gain up to $230 million from assets seized by the U.S. Department of Justice.

This presents a rare scenario in which stockholders could benefit despite a company’s failure.

Notably, the repayment amount is calculated using the USD value of the crypto assets at the time of the bankruptcy filing in November 2022.

However, some creditors object to this approach, arguing that the price of cryptocurrencies, particularly Bitcoin, has risen sharply since then. Therefore, they argue that payments should reflect the current market value of digital assets, rather than historical figures.

Global distribution through trusted partners

FTX Estate partners with several payment providers including BitGo, Kraken, and Payoneer to manage the global distribution of funds.

after allthe FTX case remains one of the largest and most complex bankruptcies in crypto history. Nevertheless, the recovery process is well underway, with billions of dollars already distributed and another round planned.

Assuming current predictions are correct, the January 2026 payment could bring the property much closer to completion and end a major chapter in the FTX collapse.