The Bahamas claimed it was approved, and the US is ongoing

This week, the FTX creditor breakthrough appeared. Multiple claimants have been officially verified under separate Bahamas legal processes, indicating a much-anticipated step forward.

Creditor representative Sunil Kabli confirmed the development on July 22, saying that verified people will be included in the future distribution.

Slow and steady progress in the Bahamas

The Bahamian process was burdened by regional compliance with UK/EU style regulatory frameworks. Additional Knowledge Customer (KYC) procedures have slowed the approval of the claim, leaving an estimated $290 million claim on outstanding validated claims as of late June.

Co-liquidators, PricewaterhouseCooper (PWC) and King of the Bahamas attorney Brian Sims, continue to manage cases based on these regulatory constraints.

Creating a robust payment framework

Past codes have collapsed like Mount Gox and Celsius, and are also involved in long-term international claims efforts. These strict rules slow down payments, but once regulatory hurdles are overcome, we can expect to create a more robust payout framework.

Related: Does FTX still have a future? How about FTT tokens?

In addition to the legitimate confusion, a settlement between the Bahamas unit of FTX and the Celsius Network resolved the dispute over Clawback’s claim. Such resolutions are essential to unlock creditor payments and enable fair distribution of assets.

US Bankruptcy Court hearing is underway

In line with the news, today’s omnibus hearing in the FTX bankruptcy case is being held at 9:30am at the US Bankruptcy Court in the Delaware area.

According to official court documents signed by Judge Karen B. Owens, this is the first of three scheduled omnibus hearings, with additional dates set for August 12th and September 11th.

Related: Chinese creditors are challenging to exclude $1.4 billion from FTX bankruptcy claims

The key agenda item is the proposed “restricted jurisdiction procedures” that affects creditors residing in any of the 49 restricted countries, including China.

If approved, FTX is permitted to seek legal opinions on whether payments can be made legally to these jurisdictions. Based on these findings, certain residents may be excluded from future distributions.