FTX Creditor Group Leader Refutes Rumors of FTX Repayment in Early January Next Year…"Difficult to Proceed"
Summary
- Sunil Kavuri stated that FTX's debt restructuring plan for early January next year is difficult.
- FTX plans to distribute approximately $7 billion in cash as a priority in March, with additional asset distribution to follow after disputes.
- FTX stated that the recovery and distribution of the remaining assets will take place over the next 2 to 3 years.
Sunil Kavuri, the leader of the largest creditor group of the bankrupt cryptocurrency exchange FTX, stated on the 30th (local time) via X (formerly Twitter) that "FTX's plan to implement a debt restructuring in early January next year seems difficult to proceed." He noted, "Currently, FTX's cash holdings are estimated at $13 billion, with venture capital portfolios and litigation proceeds estimated at $5 to $7 billion."
He continued, "$7 billion has been set aside as reserves related to disputed claims, but this is not included in the initial distribution." He explained, "Approximately $7 billion in cash is expected to be distributed first in March next year, with additional assets to be distributed after the resolution of disputed claims."
Additionally, he added, "The recovery and distribution of the remaining assets will be carried out over the next 2 to 3 years."
Previously, FTX had announced in a press release that "FTX's debt restructuring plan is expected to be implemented in early January next year, with creditor repayments to be made before March, within 60 days of that."
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
