The ongoing FTX repayment saga has taken a complex turn as the Chinese creditors are expressing concerns regarding their claims. The tariff trade war and regulatory issues has further complicated the entire process for the creditors.
Platforms like BitGo and Kraken are not available in China and this has disturbed the redistribution process to the creditors in the region.
FTX Redistribution Concern in China
In China, strict regulations over cryptocurrency transactions has already made distribution process difficult. Let’s not forget that the current trade tensions are also primary concerns for these creditors. While trade tensions have not directly affected the FTX distributions but these situation reflect broader economic uncertainties that can affect investor confidence.
These trade tensions have already contributed to an extremely volatile global economic development and this may indirectly influence the crypto market and the recovery prospects for FTX creditors.
The uncertainty has led to growing concerns amongst the creditors as it has been two year since the FTX crash and the creditors are now eagerly waiting to recover their assets. There has been no update for regions where distribution platforms like BitGo or Kraken are not available.
Small Creditor Repayments Carried Out Successfully
Till today, FTX has made a significant progress in distributing or reimbursing small creditors. Over 90% of creditors with claims under $50,000 have been fully repaid. This repayment indicates that the company is serious about repaying the creditors, even though they are starting out small with the smaller creditors being paid first.
For larger creditors, it is being said that they will start receiving the payment in the second quarter of this year. As per Sunil Kavuri’s X post, the next FTX repayment will begin probably the next month, May 2025.
SOL Unstacking
On the other hand, FTX/Alameda has unstacked 186,326 SOL valued at approximately $21.5 million. This move highlights ongoing asset management efforts amidst the bankruptcy proceedings. Currently, looking at the chart of the SOL token, it seems like this unlocking has not affected the price of the token a broader level.
At press time, the price of the token stands at $118.57 with a surge of 3.9% in the last 24 hours as per CoinGecko.
Back in February 2025, the company had unlocked 11.2 million SOL tokens which were worth $2 billion and then later on $200 million token unlock took place. These unlocks increase selling pressure and affect the price of the SOL token. These unlocks contributed to market uncertainty and Solana’s price faced challenges near key support levels.
Also Read: Pi Network’s Token Unlock Boosts Price, Transaction Fees Rise
