Distributions for those affected by the collapse of FTX will be carried out through Kraken and BitGo, a process that will take effect starting January 3, 2025, and could extend for a period of 60 days.

FTX will begin the compensation process for those affected in January 2025

This will be done in partnership with Kraken and BitGo

The process officially starts on January 3, but may extend for about 60 days

Once the process is completed, FTX will officially close its doors

After several months of waiting, the compensation process for those affected by the collapse of FTX will finally begin in early 2025, with distribution to be made effective through the exchanges Kraken and BitGo following an agreement reached with the platforms.

FTX Compensation Process

This was announced by the FTX team in an official statement, indicating that the compensation process for those affected will take effect on January 3, 2025, and the initial distribution of assets is expected to occur within the following 60 days.

Regarding the distribution of funds, the company indicated that an agreement was reached with the exchanges Kraken and BitGo, which will facilitate payments to retail and institutional clients, as well as to other creditors in supported jurisdictions, all in accordance with the plan presented to the U.S. bankruptcy court.

In this regard, the current CEO of FTX, John Ray III, highlighted the hard work they have undertaken in recent years to initiate the bankruptcy process, recovering large amounts of capital to adequately compensate those affected.

“The plan that will take effect in January 2025 and the start of distributions are a reflection of the outstanding success of the recovery efforts. We are well positioned to begin executing the distribution of recoveries to all customers and creditors, and we encourage customers to complete the necessary steps to start receiving distributions in a timely manner.”$BTC