Several issues that FTX needs to pay attention to when executing compensation: how to compensate, how much to compensate? Is it good or bad?
~ Which users will be compensated first?
According to FTX's bankruptcy plan, 98% is actually a reversed user ratio, covering customers who hold $50,000 or less in the exchange at the time of FTX's bankruptcy.
~ How much is the total amount of funds available for compensation?
In its bankruptcy plan, FTX once estimated that the total value of assets recovered, converted into cash and available for distribution since the bankruptcy filing will be between $14.5 billion and $16.3 billion.
~ Will FTX pay the full amount at one time?
Alex Thorn, head of research at Galaxy, mentioned that even if compensation begins, it will not be paid off at one time.
Thorn said that FTX expects to compensate 98% of users (that is, users with claims less than $50,000) about $1.1 billion in advance within the year, and the remaining amount is expected to be paid between the first and second quarters of 2025.
~What is the compensation standard?
According to the bankruptcy plan, FTX will first compensate 98% of creditors in cash according to the dollar value of the claims at the time of bankruptcy in November 2022, with an estimated compensation ratio of 118%; the remaining creditors will also receive a 100% compensation ratio, plus a total of billions of dollars in time value compensation.
FTX's 5 Bitcoin addresses hold a total of 7,905.694 BTC, worth $335,825,239.43.
FTX's 6 Ethereum addresses hold a total of 1.292 billion
FTX's 4 Solana network addresses hold a total of 391,100 SOL, worth $42.232 million, and the total value of the SPL tokens held is $2.323 billion.
The rest are basically small money.
The compensation is in cash, so why would the realization of these coins increase liquidity as Zhusu said? Shouldn't it be selling pressure?