FTX, the bankrupt crypto exchange, is endeavouring to restore services for its international customers.
In June 2023, The Wall Street Journal first reported the potential restart of the international exchange. According to the report, CEO John Ray stated that they had initiated the process of seeking interested parties to revive the FTX.com exchange.
The exchange has a damaged reputation and is struggling to address creditor compensations. Therefore, this endeavour is expected to draw attention from lawmakers and the crypto community.
Following the news, the FTX token (FTT) experienced a substantial gain, surging approximately 10% to $1.47 in 24 hours. Shortly after the news broke, it peaked at $1.59 and maintains a positive momentum.
FTX Plans To Rekindle Its Fire
The filing, published Monday, categorizes the claimants into different groups. The first group comprises the claimants of FTX.com offshore exchange, referred to as “dotcom customers”. The next group consists of customers from the U.S. exchange, designated as “U.S. customers”. Following them are customers of its NFT exchange.
Subsequently, there are general unsecured, secured, and subordinated claims. The general claims originate from Alameda’s lenders or trading partners. The subordinated claims encompass taxes and fines from penalties.
A “waterfall priorities” system will determine the priority of these claims. Each class will receive a pro-rata payout based on what remains in the pool after the preceding class’ settlement. The specific order of payout will be determined through negotiations with stakeholders.
Former customers of FTX.com, who belong to the dotcom claimants category, can collectively combine their assets. They can establish an “offshore exchange company” or a “rebooted” platform unavailable within the U.S.
The FTX Collapse – One of The Most Significant Moments in Crypto’s History
In November, the United States witnessed FTX applying for Chapter 11 bankruptcy protection after its stunning downfall. Its shutdown caused significant tremors in the digital assets sector.
Before the collapse, customers from Sam Bankman-Fried’s crypto exchange had withdrawn billions of dollars, severely impairing the firm’s liquidity. An attempted rescue agreement with rival exchange Binance also crumbled. The deal’s failure led to one of the most prominent collapses in recent years within the crypto world.