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FTX liquidation claim guide, five steps to complete registration application

Lila

24-03-04 13:55

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Original source: PWC

Original compilation: Jordan, PANews

After a long wait, FTX Joint Official Liquidator (JOL) PwC updated the liquidation claim process and announced the launch of FTX Digital Markets (FTX International Platform (main regulatory and licensing entity) claims portal.

Based on the disclosed information, FTX will notify eligible customer and non-customer creditors to submit proof of debt and other information through the FTX Digital Markets claims portal, and only if Customer and non-customer creditors who file electronic claims before the prescribed deadline of May 15, 2024, and for which the relevant information is admitted, will be eligible to receive allocations of liquidation claim funds in the Bahamas proceedings.

FTX Liquidation Claim Timeline

Before you start exploring how to file an FTX Liquidation Claim, Let’s sort out the timeline of this incident a little bit——

· On November 10, 2022, the Bahamas Securities Commission filed a complaint with FTX Digital Markets Ltd. FTX Digital’s liquidation proceedings were officially launched on the same day that the Court’s Commercial Division filed a liquidation petition and suspended its license to operate as a digital asset business.

· On November 14, 2022, Kevin Cambridge of PwC Bahamas and Peter Greaves of PwC Hong Kong were also appointed by the Supreme Court of the Bahamas as interim Liquidator.

· On February 15, 2023, the U.S. Bankruptcy Court for the District of Delaware recognized the provisional liquidation main proceeding in The Bahamas.

· On November 10, 2023, after hearing evidence submitted by representatives of the Bahamas Securities Commission, the Joint Provisional Liquidators and counsel on behalf of FTX Trading Ltd., The Bahamas The Supreme Court appointed the Joint Provisional Liquidators as the Joint Official Liquidators ("JOL") and ordered that the Companies Act (as amended) 1992 and the Companies (Winding Up Amendment) Act 2011 apply to the liquidation of international business companies. Liquidation of FTX under the regulations.

· On March 3, 2024, the FTX claims portal was officially launched. Eligible customer and non-customer creditors must submit their claims on May 15, 2024 Substantiate the claim.

FTX Liquidation Claims Guide

PwC is now officially activated as FTX Joint Official Liquidator FTX Digital Markets claims portal. Eligible customers and non-customer creditors can log in to the website to submit relevant information for claims. A total of 5 steps are involved, as follows:

1. Account registration-Create a claim portal account

In order to submit To make a claim, you first need to create an account on the FTX claims portal. After creating the account, you can associate the FTX account, view the account balance and submit a liquidation claim. (Note: Users in Australia, Europe, Turkey or Japan may be processed under one of the separate processes.)

As required by FTX, creating an account requires providing contact information and details (including name, phone number and email address, date of birth and account opening date, as shown above), as well as the claimant type ( Including individual customers, institutional customers and non-customer creditors, as shown below).

It should be noted here that personal customers refer to " Customers who make claims against "FTX.com" or "FTX International"; institutional customers refer to customers who make claims against "FTX.com" or "FTX International" in the name of the company; non-customer creditors refer to those who provide goods or services to FTX Digital For transaction creditors (a small number of employees may fall into this situation), the registration information of these three types is different. For details, please refer to the figure below:

After successfully completing all the above information, click the "Next" button and you will see a pop-up window stating that the "One-time PIN" has been sent Email, you need to enter the password on the next page (as shown below). If you do not receive the email, please check the spam folder, or you can click "Resend verification email".

2. Registered creditor and Customer Account Details

To submit a claim, you will also need to fill in additional details to register yourself as a creditor and link your FTX account to the newly created FTX Digital claim Portal account to associate. Only when the FTX account is linked to the FTX Digital Claims Portal account can you submit a claim for the FTX account and view the associated account balance, and then choose to accept the balance figure or dispute the balance figure and provide further details to Substantiate the amount of funds claimed.

Once you have set up your FTX Digital Claims Portal account, you can log in at any time using your username and password (pictured above ), but at this time you need to receive another email containing a "one-time PIN". In fact, every time you log in to the claim website, you need to obtain a "one-time PIN" via email to ensure account security.

After completing the login, you can enter the "Creditor and Customer Account Details Registration" ” section and enter the following details:

· Step 1: “Current Claimant Information” – Complete all required fields (name, date of birth, Phone number, address, country or region of residence, occupation, nationality, ID number)

Note: Acceptable/recommended ID numbers are passport, national ID and/or driver's license numbers, depending on in jurisdiction.

· Step 2: Link FTX account and enter the email of the FTX account Address, this will link your FTX account to an FTX Digital Claims Portal account. Once you enter your email address, a verification code will be sent to your linked email address to verify you have access to these accounts.

After successfully linking the FTX account, you will be able to view the balance information for review.

3. Balance Acceptance – Accept or challenge the listed balance

Complete FTX account association After that, you will be directed to the balance page, which displays the portfolio information and balance data of the related accounts in detail, as shown below:

At this time, you can choose to accept or question the balance number in the lower right corner of the page, and enter the following page:

If you dispute the balance (i.e. Dispute Portfolio), you will need to provide more details to substantiate the claim amount -

· Part 1 (pictured below) - Customer/non-customer details, full name, primary residential address, primary contact telephone number and email address (the electronic number associated with the FTX account) must be entered. email address).

· Part 2 - Claim amount (USD or USD equivalent), details of the claim amount need to be entered.

· Part 3 - Basis for claim, the reasons for the claim amount must be provided in detail, and please attach Upload relevant supporting documents to confirm the claimed funds. The uploaded files support image (such as jpeg, png), PDF, Word or Excel (including CSV) formats, but email uploads (such as .msg format files) are not accepted. If email is involved, Must be saved as PDF file and uploaded.

· Part 4 - Claims acquired/assigned if from another The FTX assets purchased by one party must indicate the corresponding information.

· Section 5 - Guarantee, if held in connection with the claim Security (i.e. mortgage, charge or other collateral).

Complete the above steps, or directly confirm that the user accepts the claim amount, then You will be taken to a dashboard page that will confirm the claim amount and ask for an option to submit the information. Once you enter your name, identity, contact information and signature, and select Submit, the claim information cannot be modified.

4. Identity verification

The Joint Official Liquidators will implement anti-money laundering ("AML") and know-your-customer ("KYC") procedures to confirm that creditors have legal rights to their accounts and help prevent fraudulent activity.

Customer and non-customer creditors are required to submit identification information and supporting documentation for review as part of KYC procedures that help confirm creditor identities and accounts, and enhance the security of FTX Digital's claims process. Completing the KYC process is not the only factor that determines whether a claim can be paid, as in some jurisdictions there may be external restrictions on sending allocated funds.

Since this link is operated by FTX and the official liquidator in the "background", the claimant does not need to take any action. Once the identity verification is completed, he will be contacted by email. Make notifications.

5. Liquidation and transfer of claimed assets

After the above process is completed, FTX Digital’s claim will Entering the formal adjudication process, creditors will receive the results of the adjudication and it is expected that the first interim dividend distribution (Payment of the first interim dividend distribution) will be paid at the end of 2024 or early 2025.

Security Reminder

When submitting relevant information, you must pay attention to the official website address information to prevent phishing and spam Fraud, FTX creditors need to confirm the authenticity of the email information received and the legitimacy of the relevant emails. If necessary, they can communicate through the email address on the official website and confirm the relevant information.