FTX, a now-defunct crypto exchange, has proposed a restructuring plan for its creditors, which would involve the creation of an offshore exchange company or a rebooted platform not available in the U.S. The filing, posted Monday night U.S. time, delineates the claimants into various groups, with the priority of these claims to be determined according to the waterfall priorities. Members of the Dotcom claimants category – former customers of FTX.com – may opt to pool their assets to create the new exchange, with the possibility of receiving equity securities, tokens or other interests in the Offshore Exchange Company, or rights to invest in such equity securities, tokens or other interests instead of a cash payout.
However, holders of FTT, which was called a security by the SEC in a December complaint, will not receive any distributions on account of their FTT claim. The document reads, On and after the Effective Date, all FTT Claims shall be canceled, released, and extinguished and shall be of no further force and effect, whether surrendered for cancellation or otherwise.
FTT is currently up 10.5% and trading at $1.50, according to CoinDesk market data.