FTX Recovery Trust to Distribute $1.6B in September Payout to Creditors

This upcoming distribution reflects the FTX Recovery Trust’s continuing implementation of the court-approved Plan of Reorganization. The Third Distribution will deliver approximately $1.6 billion to eligible creditors on September 30, 2025. According to the announcement, cumulative and incremental recoveries in certain creditor classes will now reach 78% in the Convenience Class, 95% in the Non-Convenience Class, and 85% in the Customer Convenience Class. These percentages highlight the scale of progress made since the plan began.

The September payout will be made under the Plan of Reorganization through authorized distribution service providers including BitGo, Kraken, and Payoneer. Eligible creditors who have met the required record-date and pre-distribution obligations will receive their payments, in accordance with the allowed claims classes defined in the plan.

The official release describes the distribution as being carried out under the bankruptcy court’s Plan of Reorganization. It notes that allowed creditors will receive payments according to their classes and record-date requirements, highlighting the high percentage recoveries in several classes as a sign of progress.

While the PRNewswire release does not detail the number of users or precise liabilities, it does note that the FTX Recovery Trust’s recoveries are unfolding far faster than anticipated when these cases began.

The September 30 distribution of approximately $1.6 billion will be the third payout under the FTX Plan of Reorganization. According to the official release, cumulative and incremental recoveries for certain creditor classes will reach significant levels, reflecting the progress of the recovery process. The trust also noted that further distributions will depend on court approvals and the resolution of ongoing claims.

The release stated that following the September 30 distribution, subsequent record dates and payment dates will be announced in due course. It also emphasized that distributions are being carried out in line with the Plan of Reorganization for the relevant creditor classes.

FTX collapsed in November 2022 amid allegations of fraud and mismanagement, triggering one of the most high-profile bankruptcies in the digital-assets industry. The collapse exposed substantial shortfalls in customer deposits and liabilities amounting to billions, severely affecting trust in the cryptocurrency market.

Since its establishment, the FTX Recovery Trust has been responsible for managing creditor claims and carrying out distributions under the bankruptcy court’s Plan of Reorganization. The third distribution, scheduled for September 30, 2025, reflects the scale and complexity of the recovery process, which has already delivered high percentage recoveries in several creditor classes.

The upcoming distribution also illustrates the broader significance of structured bankruptcy processes within the digital-asset industry. By following court-supervised procedures and transparent record-date requirements, the FTX Recovery Trust is aiming to deliver predictability to creditors who were left uncertain after the collapse. The approach highlights how formal mechanisms, such as the Plan of Reorganization, can provide a framework for managing complex financial failures in emerging sectors like cryptocurrency. As additional distributions are scheduled in the months ahead, the trust’s progress will continue to serve as a case study in how large-scale recoveries can be managed in digital finance.