FTX fails to pay $2.5 billion debts to customers due to KYC issues. Find out who is affected and learn about the repayment process.
The bankrupt exchange FTX announced that it won’t pay around $2.5 billion of customer claims due to incomplete KYC verification. Users who haven’t started the verification process by March 3, 2025, will be deprived of their claims. The total value of unverified claims is estimated to be over $1 billion, according to Sonil Khawari, a creditor activist. More than 392,000 users are affected by this decision. Repayment process started on January 3, 2025, aiming to distribute $12.6 to $16.5 billion among users in cash based on cryptocurrency values at the time of bankruptcy.
