FTX’s bankruptcy estate has been cleared to return billions of dollars to out-of-pocket creditors of the collapsed cryptocurrency exchange after the US Bankruptcy Court approved a reorganisation plan.
The confirmation comes less than two years after FTX's bankruptcy filing.
According to a press release, 98% of creditors by number will receive around 119% of their allowed claims within 60 days after the plan's effective date, pending completion of know-your-customer and distribution requirements.
FTX estimates that the total value of assets available for distribution will be between $14.7 billion and $16.5 billion.
It was the most high-profile collapse in the 2022 crypto rout. Following the collapse, founder and chief executive Sam Bankman-Fried was found guilty of fraud and money laundering.
John J. Ray III, chief restructuring officer of FTX, said on Monday: "The court's confirmation of our plan is a significant milestone on our pathway to distributing cash to customers and creditors.
“Today's achievement is only possible because of the experience and tireless work of the team of professionals supporting this case, who have recovered billions of dollars by rebuilding FTX's books from the ground up and from there marshalling assets from around the globe.
“It also reflects the strong collaboration we have had with governments and agencies from around the world that share our goal of mitigating the wrongdoings of the FTX insiders."