In a significant bankruptcy settlement, non-U.S. creditors of the defunct FTX.com exchange may recover up to 90 percent of their assets. Legal battles have brought attention to alleged mismanagement of customer assets by FTX, with a focus on reaching a speedy settlement for asset return. Legal representatives are working on behalf of non-U.S. creditors to secure a deal that would allow these investors to reclaim a substantial portion of their assets locked within the exchange. This development is expected to be a turning point in the ongoing bankruptcy proceedings, which have faced scrutiny due to allegations of impropriety regarding customer assets. The legal battle has been intense, with creditors asserting that the assets belonged to customers and not the exchange. The ongoing criminal trial involving the former FTX CEO has shed light on allegations of mishandling customer trust and funds. The primary objective has been to achieve a settlement to expedite the return of funds to affected customers. If approved by creditors, the settlement will need to obtain the bankruptcy court’s approval. The aim is to emerge from bankruptcy proceedings by July 2024, allowing investors to regain access to their frozen funds. Recovering funds in the cryptocurrency sector poses unique challenges, and the outcome of this case is expected to have far-reaching ramifications for affected investors and the broader cryptocurrency community.

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Information	Details
Geography	Global
Countries
Sentiment	neutral
Relevance Score	1
People	Sam Bankman-Fried
Companies	Ad Hoc Committee of Non-U.S. Customers, FTX.com
Currencies	None
Securities	None