The FTX bankruptcy saga is gradually coming to an end, with the company securing approximately $228 million from Bybit to facilitate the court-approved cash distribution. This latest settlement involves the recovery of $175 million in assets from Bybit accounts and an agreement for Bybit to purchase FTX debtors' BIT tokens for around $53 million, allowing for the recovery of significant value from illiquid and volatile assets. Initially, FTX had sought $953 million from Bybit, claiming 'misappropriated funds' prior to its collapse.
A final plan was approved by the federal bankruptcy court on October 7, estimating repayments of 118% of the original amounts held by customers and creditors, although they will not benefit from the substantial price increases in crypto assets during this period. The cash payouts are expected to occur within 60 days. Last year, FTX liquidators also reached a $175 million deal with Genesis, significantly lower than the initial $4 billion target. The bankrupt FTX's liquidation CEO, John Ray, expressed satisfaction with the proposed chapter 11 plan, which aims to return 100% of bankruptcy claim amounts plus interest for non-governmental creditors, and thanked customers and creditors for their patience throughout the process.