A US court has ordered bankrupt cryptocurrency exchange FTX to pay $12.7 billion in relief to its customers, the Commodity Futures Trading Commission said in a statement on Thursday.
In March, FTX founder Sam Bankman-Fried was sentenced to 25 years in prison for stealing $8 billion from customers.
“The order requires FTX to pay $8.7 billion in restitution and $4 billion in disgorgement, which will be used to further compensate victims for losses suffered as a result of the massive fraudulent scheme orchestrated by Samuel Bankman-Fried,” the commission said.
FTX founder Sam Bankman-Fried, shown in 2023, was sentenced to 25 years in prison. REUTERS
FTX had previously committed to a bankruptcy liquidation that will repay customers whose deposits were locked during the crypto exchange’s late 2022 collapse.
FTX has said that its customers will receive 100% recovery on their claims against the company, based on the value of their accounts at the time the company filed for bankruptcy.
FTX was ordered to to pay $12.7 billion to customers. Christopher Sadowski
The CFTC agreement resolves a potential roadblock to that repayment, ensuring that the government’s lawsuit against FTX will not reduce the funds available to FTX customers.
