FTX Liquidation Dispute: Asset Disposal and Creditor Rights Attract Attention

In July 2025, a controversial news item emerged during the bankruptcy liquidation of FTX. Reports indicated that if users belonged to restricted foreign jurisdictions, their claim funds might be confiscated. It is reported that 82% of the claim funds from "restricted countries" come from Chinese users. Due to China's restrictive policies on cryptocurrency trading, these users may face the risk of losing their eligibility to claim.

This news has sparked a strong reaction in the crypto community. Many question the liquidation team's decision, claiming it lacks clear legal grounds, and believe that even with regulatory constraints, users' funds should not be directly confiscated. Some commentators have described this practice as "unfair behavior," expressing disappointment and skepticism towards the liquidation process.

The liquidation work of FTX is led by Wall Street veteran restructuring expert John J. Ray III, with legal support from the renowned law firm Sullivan & Cromwell. The high fees of this team have sparked dissatisfaction among creditors. According to reports, by the beginning of 2025, the legal service fees of Sullivan & Cromwell alone had reached $249 million.

The liquidation team's handling of the FTX portfolio has also been controversial. Several high-profile investment projects, such as Cursor, Mysten Labs, and Anthropic, were sold at prices far below their potential value. For example, FTX sold its 8% stake in Anthropic for $1.3 billion, while less than a year later, the company's valuation reached $61.5 billion. These transactions have been criticized as a missed opportunity for substantial potential gains, raising questions about the fairness and efficiency of the liquidation process.

Currently, the FTX bankruptcy assets are expected to be globally liquidated and distributed with a total amount ranging from $14.5 billion to $16.3 billion. However, if users in certain regions are ultimately unable to successfully claim their compensation, this may result in some creditors being excluded from compensation. At the same time, the new plan submitted by the liquidation team to the court includes a disclaimer clause for advisors, which further restricts the litigation rights of creditors.

This series of events not only concerns financial losses but also triggers profound reflections on the fairness and efficiency of bankruptcy liquidation procedures. For many ordinary investors, the liquidation process of FTX seems to have failed to adequately protect their rights, instead making them victims once again.