The United States Court has approved FTX’s plan to repay all customers after the company filed for bankruptcy in 2022. Currently, the management team has been able to acquire various assets to cover the debts, with total assets now at 119% of the liabilities, amounting to approximately $14.7-16.5 billion USD.
FTX will repay debts based on the dollar value at the time of the bankruptcy filing, even though many assets were deposited as cryptocurrencies that have significantly increased in value. However, some crypto assets have been lost, and the ability to repay debts is largely due to the increased value of certain assets, such as shares in Anthorpic.
In reality, FTX faces a substantial amount of government fines in the United States. However, in this case, the US government has agreed to prioritize the repayment of customers, ensuring they receive their full funds.
Although the court has approved the repayment plan, a specific date for the repayment process must still be determined. Once the effective date of the plan is announced, there will be an additional 60-day period for the repayment process to take place.
Source: BBC
TLDR: The US Court approves FTX’s plan to repay customers after bankruptcy, with assets covering 119% of liabilities. Customers will be repaid based on the dollar value at the time of filing, with an additional 60-day period for repayment after the plan takes effect.
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