Bankrupt exchange FTX is preparing to repay its creditors, with analysts predicting this process could kick off a bullish cycle in 2025. FTX’s Chapter 11 restructuring program started on January 3, 2025, with initial payments expected in the next 60 days injecting around $16 billion into the market. The goal is to reimburse 98% of lost funds to customers through BitGo and Kraken. Currently, the digital currency market is neutral, but significant liquidations are occurring, which might attract new traders. Experts anticipate this repayment could mark the beginning of a new ‘altcoin season.’ However, FTX’s creditors’ attorney denies claims of imminent payments in January and the distribution of $16 billion. The exchange presently holds around $13 billion in cash reserves, expected to increase to $14 billion by March.
