FTX Creditors Face $2.5 Billion Loss Due to KYC Issues; Deadline Extended to June 1, 2025

Nearly 400,000 FTX creditors risk losing $2.5 billion in repayments because they haven't completed the mandatory KYC (Know Your Customer) verification. According to an April 2 court filing, approximately 392,000 creditors had not started the KYC process. The initial deadline of March 3, 2025, has been extended to June 1, 2025, giving users another chance to verify their identity and claim eligibility. Claims under $50,000 account for roughly $655 million in disallowed repayments, while claims over $50,000 could amount to $1.9 billion. The next repayment round is scheduled for May 30, 2025, with over $11 billion expected to be repaid to creditors with claims exceeding $50,000. Impacted users can resubmit their KYC documentation by emailing FTX support and re-uploading documents to the support portal, according to an April 5 X post.