On March 18, 2026, the FTX Recovery Trust officially announced that it will commence its fourth major round of asset distributions on March 31, 2026. This upcoming payout, valued at approximately 2.2 billion dollars, is a critical component of the exchange’s court-approved Chapter 11 Plan of Reorganization and follows nearly two years of aggressive asset recovery efforts. According to the formal notice filed in the U.S. Bankruptcy Court for the District of Delaware, the funds will be distributed to holders of “allowed claims” in the Plan’s Convenience and Non-Convenience Classes who have successfully completed the rigorous pre-distribution requirements. This latest tranche brings the total amount returned to former customers and creditors to approximately 10 billion dollars, a figure that represents one of the most successful bankruptcy recoveries in the history of the digital asset industry. For the thousands of individuals whose capital was locked during the exchange’s 2022 collapse, the March 31 date serves as a definitive milestone in their journey toward financial restitution.

Navigating the Waterfall Priorities and the 120 Percent Recovery Threshold

The distribution strategy for the March 31 round follows a strict “waterfall” priority system designed to ensure the most equitable treatment of the various creditor classes. The FTX Recovery Trust confirmed that holders of “Class 7 Convenience Claims”—those with smaller balances who opted for a simplified payout—will receive a cumulative distribution of 120% of their allowed claim value. Meanwhile, “Dotcom Customer Entitlement Claims” (Class 5A) are set to receive an incremental 18% distribution, bringing their cumulative recovery to 96% to date. U.S. Customer Entitlement Claims (Class 5B) and General Unsecured Claims (Class 6A) will both receive their final payments to reach a 100% cumulative recovery. This tiered approach is designed to satisfy the most vulnerable retail creditors first while systematically working toward the goal of “making whole” the larger institutional claimants. To receive their funds, eligible participants must ensure they have completed their Know Your Customer (KYC) verification and onboarded with one of the designated distribution service providers, which include BitGo, Kraken, and Payoneer, prior to the upcoming record date.

Strategic Timeline for Preferred Equity Holders and the 2027 Outlook

In addition to the multibillion-dollar creditor payout, the FTX estate has also provided a concrete timeline for “Preferred Equity Holders,” a group that has historically been viewed as the least likely to receive a significant recovery. The trust has set April 30, 2026, as the record date for an initial payment to these holders, which is scheduled for May 29, 2026. This development is being monitored closely by the 2026 market, as it suggests that the total value of recovered assets has significantly exceeded the initial estimates provided during the height of the bankruptcy proceedings. While the original FTX exchange has no path to a “rebirth” or restart, the efficient liquidation of its venture portfolio—including its stakes in various AI and cloud infrastructure firms—has provided a massive surplus that is now flowing back into the crypto economy. For the 2026 investor, the March 31 distribution is more than just a payout; it is the final chapter in the liquidation of a legacy giant, providing a massive injection of liquidity that could serve as a powerful catalyst for the next stage of the market cycle.