FTX will begin its fifth payment distribution worth about $900 million on July 31, 2026, under the company’s court-approved reorganization plan. The latest distribution covers eligible holders with both Convenience Class and non-Convenience Class claims. FTX will also issue a second payment to eligible preferred shareholders on the same date.
Eligible recipients should receive payments within one to three business days after July 31. Distribution partners Kraken, Payoneer, or BitGo will send funds based on each claimant’s selected payment provider. FTX administrators said the distribution partners will deposit the funds directly into eligible accounts.
The total amount returned to customers and claimants has reached nearly $10 billion since liquidation efforts formally began in 2025. Earlier in March, FTX distributed $2.2 billion to affected users, making the July payment another large step in repayments under bankruptcy proceedings.
Payment Process Covers Eligible Claim Categories
Convenience Class claims mainly belong to retail traders and smaller creditors, representing most people affected by the FTX collapse. Non-Convenience Class claims cover larger financial claims or more complex legal cases. Both groups are included in the July distribution if they meet the eligibility requirements.
FTX bankruptcy case administrators will continue checking customer identities and account balances during the coming weeks. Meanwhile, verification work is intended to support accurate payments throughout the fifth distribution phase and reduce processing errors before remaining claims are completed.
According to court records from the Chapter 11 proceedings, the bankruptcy estate aims to return between 118% and 142% of claim value calculated at the time of the FTX collapse in 2022. Payment amounts are based on values recorded during the bankruptcy process instead of later market price changes.
FTX Creditors Raise Concerns as Settlement Advances
Some creditors have continued criticizing the cash repayment plan. Their concerns center on the decision to return cash instead of the original crypto assets. Many of those creditors argue that market gains recorded after 2022 are not reflected under the current repayment structure because digital assets are not being returned.
Bankruptcy proceedings have also produced settlements involving outside parties connected with former business operations. During May, law firm Fenwick & West agreed to pay $54 million through an out-of-court settlement linked to lawsuits connected with the FTX collapse.
Fenwick & West served as the principal outside legal counsel for the FTX U.S. division before the company’s bankruptcy filing. Under the settlement, the law firm resolved claims alleging involvement in fraud carried out by former FTX founder Sam Bankman-Fried.
