Bitrabo Editorial
As this year comes to an end, notable progress is unfolding from the collapse of the cryptocurrency exchange FTX, which was previously operated by the now-convicted founder Sam Bankman-Fried. Following extensive anticipation, it appears that FTX customers who were impacted by the exchange’s downfall two years ago are close to receiving their payouts.
$16 Billion Ready for Distribution
Market analyst MartyParty recently pointed out the advancements, calling attention to “verifiable evidence from actual FTX customers expressing true intentions.”
In a social media post, a user shared their story, mentioning they successfully withdrew most of their holdings before FTX filed for bankruptcy, leaving a “minimal amount of Chainlink” on the platform.
This user noted receiving an email detailing tax obligations, indicating a critical step before they receive their payout. They shared that they anticipate receiving $289 and plan to reinvest it in Bitcoin, referring to it as “free money.”
MartyParty reacted to this update, suggesting the long-awaited fund distributions are close to being finalized. This user’s disclosure not only reflects the exchange’s intentions to resume payouts, but also suggests a potential trend among other claimants.
It is likely that many affected users will reinvest their received funds into cryptocurrencies, especially Bitcoin or other significant assets in the crypto scene.
For instance, crypto analyst Xremlin previously highlighted that a considerable portion of the $16 billion reserved for distribution will likely re-enter the crypto market, potentially fueling growth as the year wraps up.
Xremlin underscored the significance of this distribution, suggesting it marks a return of funds to individuals already engaged with cryptocurrencies. It is projected that many recipients will reinvest their payouts, particularly in Bitcoin and Solana, leading to considerable buying momentum.
Market Surge Anticipated as FTX Payouts Draw Near
The origin of this substantial cash influx can be linked to FTX’s agreements with US authorities, which included liquidating assets obtained from misused customer funds. These assets encompass investments in cryptocurrencies, tech firms, venture capital, and real estate.
Analyst Miles Deutscher also shares a hopeful perspective regarding the imminent repayment of $16 billion to FTX creditors. He expresses that, in contrast to the past cash outflow related to Mt. Gox refunds, these upcoming distributions could provide liquidity to the market.
He believes that many users will likely reinvest their returns, further energizing market activity and potentially leading to pricing increases across the board.
Ultimately, MartyParty also expects this distribution to positively impact the overall cryptocurrency market. He foresees that the $16 billion distribution from FTX, projected to start in two weeks, will inject essential liquidity back into the crypto domain.
As of now, FTX’s native token, FTT, is valued at $1.35, noting a rise of 1.4% in the last 24 hours and over 8% in the past week.
Image sourced from DALL-E, chart from TradingView.com