FTX Confirms $1.6B Payout With Up to 120% Small Claim Recovery

FTX Payout: $1.6B Creditor Recovery Nears 95%

FTX has officially reported a payout of $1.6 billion to creditors as part of its bankruptcy plan, which was an important move in the exchange's recovery since November 2022. Representative Sunil confirmed the tranche on September 30, 2025. It raises the total recovery rates close to 95%, higher than the usual average of 20-40% in bankruptcies.

Supplied via partners BitGo, Kraken, and Payoneer, the funds will be received by account holders within 1-3 business days. This is the third large-scale distribution since the exchange collapsed, highlighting the scale of recovery in one of the biggest financial frauds in history in the United States.

SOURCE: X

FTX Large Creditors Secure 83.9% Recovery

Account holders with concerns exceeding $50,000 are set to get 78.2% of their balances in this round, on top of a prior 5.7% payout issued in May 2025. This brings their cumulative recovery to 83.9%.

From a large-claim pool of $1.347 billion, approximately $1.053 billion is released in this tranche, alongside $76.8 million previously distributed. On average, large claimants owed $53,550 and will each recover about $41,874. While not fully repaid, analysts note the outcome remains highly favorable compared to most bankruptcy cases.

FTX Payout Rare Over-Compensation

More so, account holders with claims less than $50,000 are getting back 120.5% of their initial claims. This is an over-compensation suggesting additional coverage for damages or interest.

Moreover, the small-claim pool, valued at $336.8M, is distributing $405.9M, including $69.1 million above owed balances. On average, small claimants owed $4,210 will now receive about $5,073 each, making this one of the few bankruptcy cases in history where smaller creditors walk away with more than they initially lost.

U.S. Creditors Lag

Jurisdictional complexities continue to weigh on U.S. account holders, recovering just 40% of their claims. With American claims making up nearly half of the $1.684 billion pool, about $336.8 million is being allocated domestically, significantly lower than global counterparts.

Nonetheless, FTX payout, regardless of imbalance, is remarkable, emphasizing the unprecedented resolution of the FTX case.