FTX Customers Contest Proposed Repayment Plan Following Founder’s Fraud Allegations

Some former clients of the now-bankrupt crypto company FTX Trading Ltd. are urging a U.S. judge to reconsider the proposed repayment rules, claiming that the plan unfairly excludes them from the yearlong surge in Bitcoin and other digital currency prices.

Over 80 individuals have filed objections to a plan that ties the value of their digital assets to FTX’s bankruptcy filing date, Nov. 11, 2022, and proposes reimbursement in U.S. dollars rather than returning the crypto coins. FTX’s founder, Sam Bankman-Fried, stepped down amid fraud allegations, leading to the collapse of the FTX exchange.

The bankruptcy team argues that calculating the precise value of each customer’s digital portfolio is impractical due to the vast number of claims.

The objections will be considered as part of the payout plan, which will be sent to creditors for a vote in the coming months before seeking final approval from the U.S. Bankruptcy Judge John Dorsey.


Disclaimer: Not Investment Advice

it’s crucial to understand that the information provided here is not to be construed as investment advice. The crypto market is dynamic and highly speculative, and decisions should be made based on thorough personal research and consideration of individual risk tolerance. Always consult with financial professionals and conduct your own due diligence before making any investment decisions. The intention of this exploration is to present insights and trends, not to provide specific investment recommendations.

Follow Us

Top Selling Multipurpose WP Theme


Subscribe my Newsletter for new blog posts, tips & new photos. Let's stay updated!


Crypto feed news

Our team of crypto enthusiasts and market mavens is on a mission to deliver the latest, juiciest, and most insightful updates from the ever-evolving world of cryptocurrencies.

@CryptoFeedNews 2023 All Right Reserved. Designed and Developed by TheDevThingz

Skip to content