Key Takeaways FTX will begin distributing approximately $900 million to eligible creditors on July 31, 2026. Dotcom and U.S. customer claims will reach cumulative distributions of 105% of the
According to the official announcement from FTX and the FTX Recovery Trust, the distribution covers eligible creditors in both the Convenience and Non-Convenience Classes. Recipients must have held an allowed claim and completed all required steps by the June 16 record date.
Eligible creditors should receive the money through BitGo, Kraken, or Payoneer within one to three business days after distributions begin. With five rounds now announced since repayments started in February 2025, the estate’s disclosed creditor distributions have moved beyond $10 billion.
The fifth distribution adds different percentages depending on the type of claim:
Class 5A: Dotcom Customer ClaimsAdditional 9% distribution 105% Total Class 5B: U.S. Customer ClaimsAdditional 5% distribution 105% Total Classes 6A & 6B: Unsecured/Loan ClaimsAdditional 3% distribution 103% Total Class 7: Convenience ClaimsFinal settlement target 120% TotalFTX did not announce a new incremental percentage for Class 7 creditors who have already received their full treatment under the plan. The cumulative figure may also cover convenience claims that became allowed after earlier record dates and are only now eligible for payment.
The estate cautioned that actual percentages could differ slightly because of rounding. A more detailed breakdown by claim class is expected to be filed with the bankruptcy court after the July 31 distribution.
The percentages above 100% require an important qualification. They apply to the value of each creditor’s allowed bankruptcy claim, with additional amounts reflecting post-petition interest and other treatment established under the restructuring plan.
They do not mean creditors are receiving 105% or 120% of the current value of the Bitcoin, Ethereum, or other digital assets they previously held on FTX.
FTX’s official claims documentation states that customer balances are reflected as of November 11, 2022. Their U.S. dollar values were calculated using the Digital Asset Conversion Table approved during the bankruptcy proceedings.
A creditor who held an appreciating asset such as Bitcoin is therefore being repaid against its court-recognized claim value rather than receiving the original number of coins or their present market value. Passing 100% represents repayment of the allowed dollar claim plus applicable plan treatment, not full restoration of the investment position the customer would hold today.
The distribution may return substantial liquidity to former FTX customers, but it should not automatically be interpreted as $900 million entering the crypto market.
FTX sends distributions to its service providers in U.S. dollars. According to the estate’s distribution provider guidance, BitGo and Kraken may allow recipients to withdraw fiat or convert their payments into digital assets, depending on their jurisdiction and account. Payoneer primarily delivers fiat payments to bank accounts.
The eventual market effect will depend on what creditors do after receiving the money. Some may return part of their payout to crypto, while others may withdraw it, cover taxes, repay obligations, or move the funds into unrelated investments. The distribution creates the capacity for new demand but does not confirm that the money will be reinvested in digital assets.
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Bitcoin’s Bottom Is Still Building, Glassnode SaysEligibility was determined using the June 16, 2026 record date. According to FTX’s distribution dashboard guidance, creditors needed to have an allowed claim and complete the following requirements:
Required Onboarding StepsCreditors who did not complete those steps by June 16 will not participate in the July 31 round. They may become eligible for a later distribution after satisfying the requirements, subject to the deadlines and forfeiture provisions contained in the restructuring plan.
Transferred claims face an additional condition. The new holder must appear on the official claims register, and the applicable 21-day transfer notice period must have expired without an objection before the relevant record date.
FTX also announced a separate payment of approximately $18 million to eligible preferred equity holders on July 31.
The money will come from the Preferred Shareholder Remission Fund Trust rather than the creditor distribution pool. The second preferred payment will increase total payments from that trust to approximately $95 million.
Eligible institutions must onboard with BitGo, while eligible individuals use Payoneer. Preferred shareholders must also provide an ownership certification, complete KYC checks, submit the required tax documents, and sign the accompanying consent form.
Because this payment follows a separate shareholder process, it should not be combined with the $900 million creditor distribution when measuring the recovery received by customer and unsecured claim classes.
FTX has not announced the record date or size of its next creditor distribution. Future payments will depend on available cash, remaining reserves, the resolution of disputed claims, and additional recoveries obtained by the estate.
Creditors should use only the official FTX Customer Claims Portal and verify any communication before opening links or providing personal information. FTX has repeatedly warned that it will never ask claimants to connect a crypto wallet to receive a bankruptcy distribution.
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice.
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