According to Bloomberg, FTX Trading Ltd., a cryptocurrency exchange, has revealed its latest proposal to return billions of dollars in assets to customers and creditors, marking the final round of potential disputes on how to best end the bankruptcy case of this fraud-affected cryptocurrency company.
There are still some critical issues unanswered in the restructuring plan, including whether FTX will relaunch its trading platform, how the company will estimate the value of certain digital tokens, and how much creditors can expect to recover.
The plan will be submitted to creditors for voting next year, potentially with additional key details, and then presented to Judge John Dorsey of the US Bankruptcy Court for final approval. Major creditors and customer groups involved in the bankruptcy protection case have agreed to the general framework of the plan, which requires distributing billions of dollars in cash after the liquidation of most of the company’s cryptocurrencies.
The FTX Unsecured Creditors Committee stated on the X platform that the revised restructuring plan and accompanying disclosure statement submitted by FTX debtors will be further amended based on the committee’s and other stakeholders’ input regarding events and agreements that occur between now and the hearing date for approving the disclosure statement. The goal is to maximize the recovery rate for FTX unsecured creditors and expedite distribution.
