FTX’s $2.5B Customer Claims: A Comedy of Errors! 😂💸

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So, here we are, folks. The FTX bankruptcy estate has decided to play a little game of “who’s not getting paid?” and guess what? If you didn’t get your KYC act together by the deadline, you’re out $2.5 billion! 🎉

Yeah, you heard that right. According to some fancy filing in the U.S. Bankruptcy Court for Delaware (because, of course, that’s where all the fun happens), if you didn’t start your KYC verification by March 3, you can kiss your claims goodbye. And let’s be honest, who doesn’t love a good deadline? It’s like a surprise party, but instead of cake, you get disappointment! 🎂

FTX Says “No Thanks” to Your Claims

They’re just tossing out claims like they’re yesterday’s leftovers. If you didn’t kick off your KYC by March 3, you’re outta luck. The deadline was originally March 1, but they decided to extend it. How generous! It’s like saying, “Hey, you can be late, but only if you’re really late!”

Now, here’s the kicker: those unverified claims were initially pegged at around $1 billion, but our buddy Sunil Kavuri, the FTX creditor activist, says it’s way more. Claims under $50,000? A cool $655 million. And if you’re over $50,000? You’re looking at $1.9 billion. That’s a lot of zeros! And over 392,000 customers are affected. It’s like a bad lottery where nobody wins! 🎰

But wait, there’s more! If you think you’re safe because you missed the first deadline, think again! If you don’t get your KYC documents in by June 1, you might as well start planning your next vacation because you’re not getting paid either. The bankruptcy estate is making it clear: no KYC, no cash. It’s like a bouncer at a club saying, “No ID, no entry!”

“Claims listed on Schedule 1 to the Order but not included on Exhibit A attached hereto may still be subject to disallowance if the holder of any such claim does not submit all KYC information requested by the FTX Recovery Trust or its KYC vendors on or prior to June 1, 2025, at 4:00 p.m. (ET),” the estate stated in the filing. Sounds like a fun time, right? 🙄

FTX Wants to Verify Everything

Since January 3, 2025, FTX has been handing out cash like it’s going out of style, with plans to distribute between $12.6 billion and $16.5 billion. But don’t get too excited! They’re only giving you cash based on what your crypto was worth when they went belly up in November 2022. Talk about a blast from the past! 🕰️

And let’s not forget about John Ray, the interim CEO, who insists on verifying customer accounts because the previous leadership was apparently too busy to do their homework. It’s like they were playing poker with Monopoly money! 🎲

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2025-04-07 08:21