Quick Read
- FTX will distribute approximately $2.2 billion to creditors on March 31, 2026, as part of its Chapter 11 reorganization plan.
- Recovery rates vary by claim class, with U.S. customer claims reaching 100% and convenience class claimants receiving up to 120%.
- The exchange has also scheduled its first payments to preferred equity holders for May 29, 2026.
FTX (Azat TV) – The bankrupt cryptocurrency exchange FTX is preparing to distribute approximately $2.2 billion to its creditors starting March 31, 2026. This significant payout marks the fourth phase of repayments under the exchange’s Chapter 11 reorganization plan, with eligible claim holders expected to receive funds within one to three business days.
FTX Announces $2.2 Billion Fourth Distribution Round
FTX Trading Ltd. and the FTX Recovery Trust announced on March 18, 2026, that the fourth distribution of $2.2 billion will commence on March 31. This round of payments is designated for approved creditors, including those in the Convenience and Non-Convenience classes, who have completed the necessary pre-distribution requirements. Funds will be disbursed through designated service providers: BitGo, Kraken, or Payoneer. Recipients will receive distributions in U.S. dollars and can then choose to convert them to fiat currency or digital assets, depending on the provider’s options and regional availability.
Creditor Recovery Rates Vary by Claim Class
The recovery rates for creditors differ based on the priority of their claims within the Chapter 11 plan. U.S. customer entitlement claims (Class 5B) are set to reach full repayment, achieving a cumulative recovery of 100%. Dotcom customer entitlement claims (Class 5A) will receive an additional 18% distribution, bringing their cumulative recovery to 96%. Non-customer obligations, including general unsecured claims and digital asset loan claims (Classes 6A and 6B), will also see a 15% distribution, resulting in a 100% cumulative recovery. Notably, convenience class claimants (Class 7), which represent smaller claims, are slated to receive a cumulative distribution exceeding full repayment, reaching 120%.
First Preferred Equity Payments Scheduled for May
In parallel with creditor distributions, FTX has also set April 30, 2026, as the record date for the first payments to preferred equity holders. These distributions are scheduled for May 29, 2026, and will be managed through the Preferred Shareholder Remission Fund Trust. To be eligible, preferred equity holders must complete ownership certification, verification requirements, and submit necessary tax documentation. This marks a new phase in the recovery process, extending benefits to a different class of stakeholders.
Ongoing Payout Process and Creditor Sentiment
This $2.2 billion distribution is the fourth since the payout process began over a year ago. The initial distribution in February 2025 targeted the ‘Convenience Class,’ followed by a larger $5 billion distribution in May 2025 and a $1.6 billion third round in September 2025. To date, the FTX Recovery Trust will have paid out approximately $10 billion in total once this latest round is completed. However, some creditors have expressed dissatisfaction, noting that reimbursements are calculated based on asset prices from November 2022, when major cryptocurrencies like Bitcoin and Ethereum were valued significantly lower than their current market prices. Creditor advocate Sunil Kavuri has stated that “FTX creditors are not whole.”
The FTX Recovery Trust’s ongoing distribution efforts highlight a complex and lengthy process of asset recovery and repayment, aiming to provide substantial, and in some cases exceeding, full recovery for a wide range of creditors.