FTX Recovery Trust to Distribute $2.2 Billion to Creditors on March 31

The FTX Recovery Trust announced Wednesday that it will distribute approximately $2.2 billion to creditors on March 31, marking the fourth round of payouts under the company's Chapter 11 bankruptcy reorganization plan. The funds will be released to creditors in both "Convenience" and "Non-Convenience" classes who have completed all required onboarding procedures. Payments will be processed through BitGo, Kraken, or Payoneer in U.S. dollars, with funds expected to arrive within one to three business days. Creditors may choose to withdraw in fiat currency or convert their recoveries into digital assets through these designated service providers.

This latest distribution builds on previous payouts totaling over $6 billion since the catastrophic collapse of the FTX cryptocurrency exchange in November 2022 — an event that sent shockwaves through global crypto markets. The most recent prior payout occurred on September 30, when the trust released $1.6 billion to creditors in its third major distribution round.

Recovery rates are climbing significantly across multiple claim classes with this fourth payout. Creditors under "Class 5A Dotcom" will see an additional 18%, bringing their total recovery to 96%, while U.S. customer claims under "Class 5B" will reach full 100% recovery. Classes "6A" and "6B" creditors will also achieve complete 100% recovery, each receiving a 15% increment, while "Class 7" claimants will receive a cumulative 120% distribution.

Looking ahead, the trust has set April 30 as the record date for its first distribution to preferred equity holders, with payments scheduled for May 29. Eligible equity holders must complete KYC verification, ownership certification, and tax documentation to qualify.

FTX founder Sam Bankman-Fried is currently serving a 25-year federal prison sentence after being convicted on seven counts of fraud and conspiracy related to the exchange's dramatic downfall.