FTX to Start $900M Creditor Payouts July 31; Six‑Month Deadline

FTX will begin a roughly $900 million Chapter 11 creditor distribution on July 31, paying holders of allowed Convenience and Non‑Convenience claims that met the June 16 record date and required pre‑distribution conditions.

Eligible creditors should receive payments through BitGo, Kraken or Payoneer within one to three business days after distributions commence, according to FTX’s distribution notice.

A claim that is allowed does not automatically guarantee immediate payment. Claimants needed to satisfy the plan’s know‑your‑customer requirements, submit a valid tax form, complete onboarding with an approved distribution provider and pass sanctions screening by June 16 to receive a July 31 payment.

Allowed claim holders who had not finished provider onboarding by the record date will not receive funds on July 31 but have a six‑month window from that date to onboard with BitGo, Kraken or Payoneer. Failure to complete onboarding within six months may result in forfeiture of the right to distributions on the allowed claim. Tax forms are governed by a separate deadline under Section 7.14 of the plan and missed tax deadlines can also lead to forfeiture.

The plan establishes different incremental payments by class for this fifth distribution. Class 5A Dotcom Customer Entitlement Claims will receive an incremental 9%, taking their cumulative distribution to 105%. Class 5B U.S. Customer Entitlement Claims will receive 5% for a 105% cumulative total. Classes 6A General Unsecured Claims and 6B Digital Asset Loan Claims will each receive 3%, reaching 103% cumulatively. Class 7 Convenience Claims are listed at 120% cumulative. FTX notes that actual percentages may vary slightly because of rounding.

Separate processes will also proceed on July 31. The Preferred Shareholder Remission Fund Trust will make an $18 million second payment to eligible preferred‑equity holders, bringing its total paid to $95 million. FTX Digital Markets will administer distributions in the Bahamas under its own terms; eligible non‑convenience and catch‑up distributions there are expected to begin July 31, with rates to be confirmed.

Claimants seeking payment should confirm completion of KYC, submission of required tax documentation and onboarding with an approved distribution provider, and should monitor communications from BitGo, Kraken or Payoneer for timing and next steps. The roughly $900 million figure applies to the Chapter 11 creditor distribution; the preferred‑equity and Bahamas processes follow separate rules and schedules.