FTX users ask court to reject repayment plan based on Nov. 2022 values 

Under the proposed plan, the FTX bankruptcy estate would settle up with customers by repaying them in US dollars based on the value of their crypto assets in November 2022

article-image

Keerthi Satheesh/Shutterstock modified by Blockworks

share

Former FTX customers are asking a judge to reject the bankrupt exchange’s proposed reimbursement values for cryptocurrencies, arguing that the plan would cost them significant profits. 

Under the proposed plan, the FTX estate would settle up with customers by repaying them in US dollars based on the value of their crypto assets in November 2022. 

But cryptocurrencies have rebounded since FTX’s collapse — bitcoin (BTC) has gained more than 160% alone — and exchange clients argue a payout based on proposed strike prices is unfair. Under FTX’s terms of service, one customer pointed out, the client is the owner of the digital asset, not FTX, so fiat reimbursement is unacceptable. 

Read more: FTX debtors push back against $24B IRS claim

“Having been victims of FTX once, I implore you to intervene and prevent the ongoing second act of theft taking place before our very eyes,” one former FTX retail client wrote Thursday to Judge John Dorsey, who is overseeing the bankruptcy proceedings in Delaware. 

Under the current plan, customers will be reimbursed around $16 per Solana (SOL) token, and $1,260 per ether (ETH). As of Friday, SOL was currently trading at about $94 and ETH was sitting near $2,450. 

FTX argues that under bankruptcy law, values offered should be based on the date of bankruptcy. Plus, according to the debtors, liquidating each customer’s holdings on an individual basis is a lengthy process. 

Read more: Bankman-Fried’s crypto portfolio would be up billions this year — thanks to Solana

More than 150 former exchange clients not represented by individual counsel had filed objections regarding the plan before the deadline on Thursday. 

The court is scheduled to rule on the proposed prices during a hearing on Jan. 25. 


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Upcoming Events

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 […]

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.

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.

recent research

morpho 2 graphic.png

Research

Utilizing a ‘DeFi Mullet’ approach, Coinbase’s Bitcoin-backed loans integration with Morpho demonstrates a powerful blueprint for CEXs to monetize dormant assets by expanding adoption of wrapped products (cbBTC, USDC) while also supporting native and/or preferred DeFi ecosystems (Base) which can further lead to downstream growth in onchain liquidity and increased utilization of the related assets.

article-image

The firm behind Helium announced that it reached a settlement with the SEC

article-image

SKALE’s Jack O’Holleran said that certain metrics are becoming more important to gauging the success of a project

article-image

Mary Gooneratne, co-founder of Solana DeFi startup Loopscale, wants to give blockchain borrow-lend a facelift

article-image

BlackRock, Fidelity and others had their spot ETH EFTs approved, and we may see more crypto products come to market

article-image

Inflation reached a five-month low in March, but 10% blanket levy may impact prices

article-image

The administration announced a pause on reciprocal tariffs, but the bond market shows signs of trouble