The FTX saga has entered yet another chapter since the exchange collapsed nearly three years ago. The company has begun repaying an estimated $1.2B to its first wave of former FTX users.
First, let’s talk about the FTX repayments.
Repayments Begin, Possibly More on the Way
Starting February 18 at 3:00 pm UTC, the exchange has repaid the first batch of over 1,500 former FTX users. This group covers those owed $50K or less.
While the repayment is already an eye-watering amount, it’s still a drop in the bucket compared to the total payouts FTX may have to settle. This could balloon to over $16B if all users file claims.
FTX’s collapse in November 2022 seems like ancient history now, but it sent shockwaves across the crypto industry.
This is partly because of the exchange’s size. Having over 130 subsidiaries meant that the event had a domino effect, which led to bankruptcies and job cuts within these firms.
It also had a major impact on Bitcoin’s value. The world’s most valuable cryptocurrency slipped to around $16K during this period after a previous high of nearly $65K.
Regulators have reacted swiftly too, and have taken a stricter approach towards crypto as a result. The United States, for instance, has fined exchanges like Binance, which was ordered to pay over $4B in 2023.
Meanwhile, FTX’s former CEO Sam Bankman-Fried is currently serving a 25-year prison sentence for stealing his customers’ money from the exchange.
How the FTX Repayments Will Impact the Market
The $1.2B payout is a considerable sum. As such, a portion of this could be reinvested into the crypto market, helping boost demand, especially for meme coins like Best Wallet Token.
In addition, the repayments could restore confidence in crypto’s reputation battered by the FTX debacle. Investors who have since become bearish due to the exchange’s collapse may once again have reason to dip their toes into crypto.
Not everyone can be expected to be happy with the good news, though.
That’s because users will be paid according to crypto prices during the time when FTX went bankrupt, plus a 9% interest per annum. $BTC holders will be particularly unhappy since the digital currency’s value has grown nearly 400% since 2022.
Life After FTX
The crypto market has changed significantly since the FTX collapse. The number of meme coins and token presales, for example, has boomed, giving investors more options to grow their money.
One of the best presales today is the Best Wallet Token ($BEST). The project, spearheaded by the creators of the top-notch crypto wallet, promises to deliver exclusive benefits to its token holders.
For one, users will be able to vote on key decisions that affect the Best Wallet ecosystem. If you love the product and want to make it better, holding $BEST tokens will make your voice heard.
Aside from that, investors will have first dibs on the team’s new projects and future token releases. This can help you buy coins while they’re still cheap and get an edge over non-token holders.
Finally, you can enjoy lower transaction fees and higher APY staking opportunities when you have $BEST.
Coinsult has already audited Best Wallet Token in November 2024 in which no major issues were found. This makes it a secure and reliable project to invest in without the risks associated with some token presales.
The project has raised over $10.2M to date, making it one of the hottest new cryptocurrencies of 2025. You can still grab $BEST for only $0.02405 each, but the price is about to increase again in less than two days, so the sooner you purchase, the better.
A Word of Advice Before You Invest
The crypto market is highly volatile, as we’ve seen with $BTC prices over the past several years. Because of this, do your own research before you invest, and never put down money you can’t afford to lose.
Also, consider consulting with a financial advisor about your financial decisions. Please use the information in this article for educational purposes only and not as investment advice.
