FTX begins $900M fifth payout Friday, sets six-month onboarding deadline
In brief
- FTX's fifth $900 million distribution begins July 31 via BitGo, Kraken, or Payoneer
- Eligible creditors receive funds within one to three business days if KYC completed by June 16
- Allowed claim holders have six months to complete provider onboarding or forfeit rights
- Class 5A and 5B customer claims receive 9% and 5% incremental payments, reaching 105% cumulative recovery
- Preferred shareholders receive $18 million second payment via Remission Fund Trust, totaling $95 million
Eligibility and payment mechanics
Creditors who satisfied the plan's know-your-customer requirements by June 16 are eligible for this distribution. The key distinction: claim allowance and payment readiness operate as separate gates. A claim could be allowed even if its holder had not submitted a valid tax form, completed provider onboarding or passed sanctions screening by the record date.
This separation creates two pathways. Creditors ready to receive funds will see deposits within three business days. Those still awaiting successful provider onboarding enter the six-month countdown starting July 31. If onboarding remains incomplete throughout that period, the holder may forfeit the right to receive distributions on the allowed claim.
Distribution percentages by class
Class 5A Dotcom Customer Entitlement Claims are slated for an incremental 9% payment, taking their cumulative distribution to 105%. Class 5B U.S. Customer Entitlement Claims receive 5% and reach 105% cumulatively. Classes 6A General Unsecured Claims and 6B Digital Asset Loan Claims each get 3%, bringing both to 103% cumulative recovery.
"If onboarding remains incomplete throughout that period, the holder may forfeit the right to receive distributions on the allowed claim." — FTX creditor documentation
The Preferred Shareholder Remission Fund Trust is scheduled to make a separate $18 million second payment to eligible preferred-equity holders, bringing its total payments to $95 million. FTX Digital Markets administers the Bahamas process separately, with eligible non-convenience and catch-up distributions expected to begin July 31.
The stakes are clear: creditors who've completed onboarding will see funds arrive within days. Those still pending verification have until January 31, 2026 to finish the process, or risk losing their claim to recovery entirely.
