The exchange’s planned restart has been verified by FTX. Recently, the bankruptcy administrators proposed restarting FTX.com, but the exchange will only accept clients from other countries. Former FTT holders are not eligible for anything, according to the plan.
The bankrupt exchange is attempting to classify its creditors into various claimant groups. A plan for one class of claimants to reopen the FTX exchange with outside investors has been included in the application. However, before making a choice, the group must agree as a whole.
FTX wants to come out of bankruptcy: III John J. Ray
In the official statement, John J. Ray III, Chief Executive Officer and Chief Restructuring Officer of the FTX Debtors, said:
“We want to come up with a mutually agreeable solution and emerge from bankruptcy. In order to file an adjusted plan and a disclosure statement in the fourth quarter of 2023, we are committed to working through these issues in the third quarter of 2023.
In terms of how the claimants are divided into groups, those connected to the offshore exchange FTX.com make up the first category. consumers of its NFT exchange, general unsecured claims, secured claims, and subordinated claims came after consumers of the U.S. exchange. Additionally, Alameda lenders were covered under general claims. Taxes and penalty fines were among the subordinated claims.
According to the document, the assets’ priority will be established using “waterfall priorities.” Additionally, former FTX.com clients have the option of pooling their resources to establish an “offshore exchange company” or a “rebooted” platform that is unavailable in the United States. A stake in the future exchange was recommended as an alternative to monetary payments in the proposal.
