FTX Cancels $2.5 Billion in Claims Due to KYC Failures Affecting 392,000 Customers, Including $655 Million in Small Claims and $1.9 Billion in Large Claims

The DefiantApril 5, 20251 min read

FTX Cancels $2.5 Billion in Claims Due to KYC Failures Affecting 392,000 Customers, Including $655 Million in Small Claims and $1.9 Billion in Large Claims

FTX has announced it will dismiss over $2.5 billion in claims related to Know Your Customer (KYC) verification failures. According to a filing in the U.S. Bankruptcy Court for the District of Delaware, the company has canceled nearly 392,000 customer claims that did not complete KYC verification by the March 3 deadline. Of the total claims, approximately $655 million are categorized as small claims, while $1.9 billion are classified as larger claims. This decision comes as FTX continues to navigate its bankruptcy proceedings and address outstanding creditor issues.

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KEYWORDS

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