FTX Creditors to Get US $16.5 Billion Bankruptcy Plan

Creditors of the collapsed cryptocurrency exchange FTX are poised to receive up to US $16.5 billion under a bankruptcy plan approved in the US.

The BBC is reporting that the agreement will put an end to a saga that started when the firm went bankrupt in November 2022, leaving millions of customers around the world without access to their accounts.

Last year, former boss Sam Bankman-Fried was convicted of stealing customer funds ahead of the collapse and later sentenced to 25 years in prison.

According to FTX, the deal will allow former customers to recover a sum worth about 119 per cent of what they had in their accounts at the time of bankruptcy.

Creditors are expected to receive their funds 60 days after the plan is declared effective.

This date has yet to be agreed.