FTX will start allocating over $5 billion to creditors under the bankruptcy plan on May 30

PANews May 16th news, according to The Block, FTX Trading Ltd., the parent company of the bankrupt cryptocurrency exchange FTX, will launch the second phase of the Chapter 11 restructuring plan on May 30, 2025, allocating more than $5 billion to creditors. The FTX bankruptcy management team announced Thursday that convenience and non-convenience creditors that meet pre-allocation requirements will receive their funds from Bitgo or Kraken within one to three working days from that date. Although the bankruptcy management team has "returned" customers at market lows for FTX's previous successful investment in startups such as Anthropic and tokens such as Solana, it has been criticized by some former customers. However, many cryptocurrency traders believe that these allocated funds may be positive for the token price if traders choose to reinvest.