FTC Bankruptcy Approved, Customers to Receive Refunds

The Facts

• A US Judge John Dorsey ruled Monday that former customers of the now-defunct cryptocurrency exchange FTX will be reimbursed around 119% of the money they had hunder the company's management before it went bankrupt in 2022.

• The ruling means that FTX must pay a total of up to $16.5B in reimbursements, covering an estimated 98% of customers who held $50K or less in their accounts at the time of the bankruptcy. FTX says its goal is to pay between $14.7B and $16.5B.

• The company, whose founder Sam Bankman-Fried has been sentenced to 25 years in prison for stealing customer's investments, was convicted of funneling the money into its sister company, Alameda Research, for personal business investments and political donations.