Historic FTX Recovery: 9% Interest Boost Awaits Early 2025 Claimants

• FTX to repay creditors starting February 2025, distributing $12 billion in Q1.
• Initial payouts target claims under $50,000, managed by the FTX Recovery Trust.
• Repayments include 9% annual interest, boosting creditor recoveries.

FTX, the embattled crypto exchange, will begin repaying its creditors in February 2025 as part of the plan to distribute $12 billion in the first quarter of the year. The distributions will first focus on claims under $50,000, marked under the convenience class in the Chapter 11 plan. The exchange’s Recovery Trust will oversee the payouts, scheduled to begin on February 18, 2025.

As per the official post, creditors must meet specific pre-distribution requirements to be eligible for the initial round of repayments. FTX plans to distribute funds through established cryptocurrency platforms BitGo and Kraken. The company anticipates processing these initial payments by March 4, 2025.

Notably, the repayments will include 9% annual interest calculated from November 11, 2022, benefiting creditors due to the increased value of FTX’s crypto holdings since the 2022 bankruptcy. The court approved FTX’s Chapter 11 plan, which took effect on January 3, 2025, marking a crucial milestone in the exchange’s recovery process.

FTX token FTT Breakout Signals Potential Run to $4.00

In related market analysis, FTT, is currently trading around $1.94. Analysts suggest a potential upside of at least 40%, based on analyzing positive technical indicators.

The daily MACD indicator shows a bullish divergence. This positive price action coincides with the news of upcoming creditor repayments, further bolstering market sentiment surrounding FTX.

$FTT Brothers, here is another spot code. The current price of FTT is around 1.94, so we can directly enter the spot market. Based on this, there is at least 40% room for upward movement. There are two points here. First, from the market point of view, the daily MACD has been running in double lines below the zero axis for a period of time. Second, the SLDJ also formed a golden cross at a low level near 20 and showed an upward trend.

Source: Kavin Sam

Lastly, FTT has broken through the upper border of a falling wedge on the 4-hour chart, signaling a potential bullish trend reversal. Eyes on a move toward $4.00.