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FTX Creditors Could Receive 10% to 25% of Their Crypto Back

Author: Content Editor
FTX creditors are hopeful that they will be compensated following the collapse of the exchange in November 2022. It is expected that creditor payments, which are likely to cause market volatility, will begin in Q4, starting in October. Activist Sunil Kavuri estimates that customers could receive between 10% and 25% of their crypto back. However, concerns have been raised as 18% of the forfeiture funds ($230 million) have been moved to equity holders. There is speculation that FTX will distribute $16 billion to its creditors in October, but this is unconfirmed pending court confirmation. The court hearing related to the restructuring plan is scheduled for October 7. The US trustee and the SEC have raised objections to the plan, citing the need for more equitable distribution and certain modifications. Meanwhile, the crypto market is preparing for the impact of the liquidation efforts and customer repayments, which could affect Solana's market valuation and inject capital into Bitcoin and altcoins.

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