Bitcoin has surged over 500% since FTX's bankruptcy

Taking Bitcoin as an example, when FTX filed for bankruptcy protection, the price of BTC was only about $16,000, but now the price of Bitcoin has soared to about $98,000. This means that if creditors had held one Bitcoin at FTX at that time, they might only get back $16,000, which is about 16% of the current price, indicating a significant loss. (Even if you were given 118%, it would still be a loss!)

Do not have misconceptions about FTX's repayments!!!

The news of FTX's upcoming repayments is a great positive for the crypto market. FTX will begin repaying $16 billion to creditors starting January 3rd, and during this process, you will need to fill out a registration form. If you do not register within six months, you will not be compensated later!

FTX's repayments will not start on January 3rd. The first batch of repayments is expected to wait until February to March 2025, and it will only target 'convenience category' creditors, totaling $1.2 billion.

For creditors with claims exceeding $50,000, a total of $10.5 billion will be paid subsequently. He further pointed out the overview of FTX's total assets:

Cash reserves: $13 billion

Venture capital portfolio and litigation proceeds: expected to be between $5 billion and $7 billion:

About 50% of the claims have been acquired by claim buyers, but these buyers are not interested in crypto assets, which may reduce the likelihood of funds flowing back into the crypto market.

At that time, many institutions purchased some of FTX's claims at a discount, which means some liquidity flowed into the hands of institutions. However, FTX's situation has gradually settled over the years, and at least there is compensation, which is better than having none!

This is also positive news for the crypto circle; at least from the current perspective, liquidity has somewhat increased!

For the bankruptcy sector: FTT, LUNA, LUNC, USTC can be watched!