FTX Bankruptcy Distribution Plan Not Approved Yet, Compensation Won't Begin Sept. 30

On September 30, according to the FTX bankruptcy administrator, compensation distributions will not begin on September 30 and rumors about it are false. The reorganization compensation plan has not yet been approved by the court, and a confirmation hearing is scheduled for October 7, 2024. If the plan is approved, creditors with claims of less than $50,000 are expected to receive compensation by the end of 2024, while creditors with large claims may have to wait until 2025. Some creditors have requested compensation in crypto assets rather than cash, and the plan has faced some opposition as a result.