FTX’s proposed settlement seeks to pay creditors 90% of FTX’s remaining assets following bankruptcy proceedings

FTX’s proposed settlement seeks to pay creditors 90% of FTX’s remaining assets following bankruptcy proceedings, and now attorneys representing some of the creditors are working to secure enough investor support to make such an agreement a reality. This 90% share arrangement represents a portion of the funds remaining after the bankruptcy proceedings are over, rather than 90% of the money people originally invested in FTX.com. Therefore, when the dust settles, the amount of funds returned to FTX users remains uncertain. The deal also includes a second key component involving those who withdrew funds from FTX before its bankruptcy, namely in early November 2022. Users who successfully withdraw their assets from FTX will be required to return 15% of their withdrawn funds in exchange for free in bankruptcy liquidation. If the settlement is approved by creditors, it would still need approval from the bankruptcy court. (CoinDesk)