FTX Vietnam Readies to Pay Back Users — Once Courts Figure How Much

Failed crypto exchange FTX intends to make Vietnam-based users whole following email notifications reportedly sent out to former users last week.

According to a screenshot of the email, users are receiving a notification because they’ve been “identified as a customer with a net positive account balance,” when the exchange filed for bankruptcy in November, per local media outlet VNExpress.

Users named in the report believe the email to be legitimate with the balances in their accounts considered accurate. The email also informs users any funds distributed would have to be settled by courts. It’s unclear how much will be returned.

FTX was not a major player in Vietnam, though it still left many locals out of pocket. Thousands of local users were caught off guard late when revelations of misappropriating user funds came to light, sending the value of its FTT token plummeting. 

The scandal sent shockwaves across the global crypto community, dragging down the entire market. Initial estimates suggested some $8 billion in user funds were lost.

A potential bid from Binance to acquire FTX fell through, culminating in the latter quickly filing for bankruptcy protection in November. FTX was valued at $32 billion only 10 months earlier.

FTX co-founder Sam Bankman-Fried has pleaded not guilty to several charges involving money laundering, fraud and violating campaign finance laws.

---

Get the news in your inbox. Explore Blockworks newsletters:

• The Breakdown: Decoding crypto and the markets. Daily.
• Empire: Crypto news and analysis to start your day.
• Forward Guidance: The intersection of crypto, macro and policy.
• 0xResearch: Alpha directly in your inbox.
• Lightspeed: All things Solana.
• The Drop: Apps, games, memes and more.
• Supply Shock: Bitcoin, bitcoin, bitcoin.