The dear creditors of the late lamented FTX exchange find themselves in a most dispiriting quandary, as the meteoric ascent of digital assets renders their hard-won cash settlements naught but a pittance compared to their original losses. How tragic, how very unromantic!
On the 2nd of November, the esteemed Suni Kavuri, self-appointed advocate for the beleaguered creditors, unveiled revised estimates of recovery. Alas, these calculations suggest that even the most optimistic among them may reclaim but 9% to 46% of their former crypto fortunes. One might almost weep for joy at such generosity… if not for the absurdity of it all. 😂
Crypto’s Resurgence: A Double Whammy for the Unwary
Mr. Kavuri’s analysis reveals a chasm between the court-sanctioned dollar settlements and the present-day valuations of Bitcoin and its ilk. Since FTX’s ignominious collapse in 2022, these digital treasures have soared with the audacity of a society belle who dares to outshine the queen. 🌟
Behold the cruel irony! When the bankruptcy was declared, Bitcoin languished at a modest $16,871. Now, it dances above $110,000. Thus, a 143% cash payout translates to a paltry 22% in actual BTC terms. One might say the market has a sense of humour… albeit a very dark one. 🤷♂️
Ethereum, too, has rallied to $4,000, reducing real recovery to 46%. Solana, that most volatile of suitors, now trades at $200, leaving creditors with but 12% of their due. A more pathetic tale of unrequited love could scarcely be imagined. 🥺
FTX Bankruptcy recovery rates in real crypto terms
The creditors are not entirely destitute
9% to 46%: A modest inheritance, though the market’s caprices may yet reduce it further
Also observed in court:
1) Scoundrels receive preferential treatment
2) The virtuous are maligned…– Lady Sunil (FTX Creditor Champion) (@sunil_trades) November 2, 2025
This revelation has ignited a spirited debate among creditors, many of whom decry FTX’s decision to convert claims into dollars as a grievous error. To fix their holdings at the market’s nadir, they argue, was to lock in losses while others profit from the rebound. A most inequitable arrangement! 🙄
Even from his exalted prison quarters, the disgraced Sam Bankman-Fried has chimed in, claiming FTX was never truly insolvent. He further contends that earlier repayments would have allowed creditors to repurchase their coins before the market’s grand crescendo. How charmingly delusional. 🤡
“Had the two-year delay not occurred, the choice between in-kind and dollarized settlements would matter little; a customer with $17,000 could simply reacquire their bitcoin. But as it stands, some are repaid less than the current value of what they were owed,” wrote the illustrious SBF, with all the wisdom of a man who once wagered his fortune on a bet he couldn’t win.
Yet the FTX estate insists the conversion was not arbitrary but a legal necessity. Under U.S. bankruptcy law, claims are valued at the filing date to simplify distribution. “Fixing liabilities in one currency,” they argue, “reduces complexity and protects the estate from further price swings.” A most pragmatic solution, one might say, for those who prefer certainty over chaos. Though, of course, it leaves individual creditors to navigate the tempest alone. 🌪️
Read More
- EUR HUF PREDICTION
- Is Bitcoin Playing Hard to Get? The Saucy Saga of Crypto’s Quiet Stage 🎩💼
- CNY JPY PREDICTION
- Launch Your Crypto Wallet Without the Headaches – Here’s How! 🤑
- USD ILS PREDICTION
- EUR MXN PREDICTION
- ETH vs BTC: The Tortoise 🏎️ Finally Outruns the Hare? 🐢
- CRV PREDICTION. CRV cryptocurrency
- USD VND PREDICTION
- EUR USD PREDICTION
2025-11-02 22:07