FTX Fifth Distribution Reaches Creditors With New Payments FTX creditors have a new payout date circled on the calendar, and the number attached to it is significant. The FTX Fifth Distributi
FTX creditors have a new payout date circled on the calendar, and the number attached to it is significant.
The FTX Fifth Distribution will begin on July 31, 2026, sending roughly $900 million to holders of allowed claims in the Convenience and Non-Convenience Classes under FTX's Chapter 11 Plan of Reorganization. The payout applies to creditors who completed all pre-distribution requirements ahead of the June 16, 2026 record date. The bankrupt crypto exchange and the Recovery Trust confirmed the round in a Friday announcement, noting that subsequent record and payment dates will be announced separately.
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Eligible creditors won't receive funds directly from the former exchange. Instead, payments route through one of three approved Distribution Service Providers — BitGo, Kraken, or Payoneer — with funds expected to land within one to three business days starting July 31. Anyone who onboarded with one of these providers has irrevocably given up the right to receive cash distributions directly from the crypto firm, directing payment to the provider instead.
For creditors hoping to qualify for future rounds, the requirements stay consistent: log into the FTX Customer Portal, complete KYC verification, submit required tax forms, and onboard with one of the three Payout Service Providers before the next record date. Claims that have been transferred only qualify once they clear the official claims register and the 21-day objection window has lapsed.
The crypto firm also renewed its phishing advisory alongside the announcement — the company will never ask creditors to connect a crypto wallet, and any message requesting that should be treated as a scam attempt targeting the Customer Portal.
FTX Creditor Classes: Who Gets Paid and How MuchThe FTX Fifth Distribution follows the waterfall priorities set out in the Plan, and the percentages vary by class:
Class 5A Dotcom Customer Entitlement Claims receive an incremental 9%, bringing their cumulative payout to 105%
Class 5B U.S. Customer Entitlement Claims receive 5%, also reaching 105% cumulative
Class 6A General Unsecured Claims and Class 6B Digital Asset Loan Claims each receive 3%, hitting 103% cumulative
Class 7 Convenience Claim — generally smaller claims under $50,000 — reach a cumulative 120% distribution
This round follows a $2.2 billion distribution in March 2026. Combined with prior payouts, the Recovery Trust has now returned close to $10 billion to creditors since the exchange collapsed into bankruptcy in November 2022.
FTX Preferred Equity Holders and What Comes NextAlongside the creditor payout, The bankruptcy estate confirmed a Second Preferred Payment for eligible Preferred Equity Holders, also landing July 31, 2026. The Preferred Shareholder Remission Fund Trust will distribute $18 million in this round, pushing total PSRFT payments to $95 million since outreach to Preferred Equity Holders began in January 2026.
To qualify for future preferred payments, holders must submit an ownership certification, complete KYC, file tax forms, and onboard with BitGo for institutions or Payoneer for individuals.
The distributions arrive as former CEO Sam Bankman-Fried remains in federal prison following his 25-year sentence, with his appeal denied and a pardon from President Trump looking increasingly unlikely after the Senate voted to oppose clemency. The former exchange is advised by Sullivan & Cromwell, Alvarez & Marsal, Quinn Emanuel, and Landis Rath & Cobb.
ConclusionThe FTX Fifth Distribution pushes total creditor recovery close to $10 billion, with Convenience Class holders now at 120% and other classes climbing past 100%. July 31 marks another concrete step in unwinding one of crypto's largest collapses.
DisclaimerThis article is for informational purposes only and does not constitute legal or financial advice. Distribution details are based on FTX's official July 17, 2026 announcement and are subject to change; actual percentages may differ slightly due to rounding, per FTX's own filings. Creditors with questions about their specific claims should consult the official Customer Portal or their Distribution Service Provider directly.
