FTX’s creditors are all set to vote on a repayment plan, will it be paid soon?

FTX's creditors are set to vote soon on a reorganization plan that could open the door to a bailout. Court documents and audio calls that have surfaced online suggest that creditors may soon recover their lost money.

FTX creditors will vote for the recovery plan

The official committee of FTX unsecured creditors has drawn up a plan with the creditors and called on the creditors to vote on the same on October 7. According to the document, the debtors and the official committee of the payment plan, the value of the creditor's claims and the date of distributions, finally discussed by calling. for sound. The outcome of the vote could speed up recovery for creditors.

FTX crypto holders are only required to recover 10-25% of their lost assets, according to recent court documents shared by Sunil Kavuri, an activist of FTX's own lender.

The documents also revealed that FTX transferred 18% of forfeited funds from the US Department of Justice to a special “selective stock holding fund.”

The $230 million fund will compensate FTX's preferred shareholders – investors who owned equity before the company's collapse. While these shareholders stand to benefit, many FTX crypto holders are frustrated that their recovery is expected to be too low.

Users voice their frustration

In response to the post, one user wrote: “Shame, cheated twice!” They commented.

Kavuri also pointed out that fees are calculated based on the value of assets at the time of FTX's bankruptcy filing. For example, when Bitcoin was trading at around $16,000 at the time, compared to $65,000 today, Solana was trading at $17, which is less than $160 today.

It has already been noted that during the bankruptcy process, the value of crypto assets increased and creditors could be paid in dollars.

Crypto traders expressed their displeasure at the last-minute change in the return plan, according to X's response.