FTX, Alameda to pay $12.7B in CFTC settlement per court

As part of the settlement, FTX and Alameda are banned from having any digital asset commodities, which include bitcoin, ether and USDT

article-image

FTX and Adobe Stock modified by Blockworks

share

A judge approved Alameda and FTX’s settlement with the Commodity Futures Trading Commission on Wednesday. 

The proposed deal was first submitted earlier this summer but was awaiting a judge’s sign-off. FTX and Alameda will pay roughly $8.7 billion in restitution and an additional $4 billion in disgorgement as part of the settlement, for a total sum of nearly $13 billion.

The funds will be made available to creditors, and the CFTC said it won’t receive anything. The agreement ends the 2022 lawsuit from the CFTC against FTX, Alameda and former CEO Sam Bankman-Fried. 

As part of the agreement, FTX and Alameda are prohibited from “having any commodity interests or digital asset commodities including but not limited to” bitcoin, ether and USDT. They’re also banned from accepting or receiving funds for purchasing or selling “digital asset commodities.”

Read more: FTX’s bankruptcy isn’t the success you think it is

“The FTX Entity Defendants shall cooperate fully and truthfully with the CFTC, including the CFTC’s Division of Enforcement, in this action, and in any other litigation, proceeding or investigation involving possible violations of the Act or Commission Regulations by any entity or individual related in any way to the FTX Entity Defendants, including any current or future investigations or litigation related to, or arising from, this action,” the filing said. 

FTX is still undergoing bankruptcy proceedings, having sent out creditor ballots for its proposed wind-down plan last month. 

The current plan — which will need creditor support prior to a court sign-off — says that creditors will receive over 100% of their claims, however, those prices are locked in at November 2022 levels, which was when the exchange filed for bankruptcy. 

The plan could be the final one filed with the court, meaning the bankruptcy could be close to coming to an end.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

Blockworks and Cracked Labs are teaming up for the third installment of the Permissionless Hackathon, happening June 22–23, 2025 in Brooklyn, NY. This is a 36-hour IRL builder sprint where developers, designers, and creatives ship real projects solving real problems across […]

recent research

Research Report Templates.png

Research

The convergence of DePIN and energy generation aims to address modern grid challenges by incentivizing distributed generation.

article-image

The deal is likely to fuel further M&A around derivatives trading and infrastructure, Architect Partners’ Michael Klena says

article-image

Stripe announced Stablecoin Financial Accounts, which will allow businesses to have “stablecoin-powered accounts”

article-image

The deal is made up of $700 million in cash and 11 million shares of Coinbase’s Class A common stock

article-image

Blockworks Research uses numbers to help crypto advance to a higher stage of storytelling

article-image

While Arizona’s governor could veto another crypto reserve bill, similar North Carolina and Texas laws are approaching the finish line