Coinbase Indicates Market Could Benefit from FTX Repayment Process

FTX Begins Distributing $5 Billion to Creditors; Coinbase Predicts Market Boost

Starting this Friday, the FTX Recovery Trust will begin sending over $5 billion in cash and stablecoins to creditors, with payments expected to clear within three business days through BitGo and Kraken.

This is the second major repayment phase following FTX’s collapse. The first, launched in February, returned around $7 billion to creditors with smaller claims but didn’t spark much market movement amid ongoing macroeconomic pressures.

Coinbase analysts believe this new wave of repayments could have a more positive impact on crypto markets. The funds will be delivered primarily as stablecoins, giving creditors immediate liquidity and the flexibility to reinvest on-chain.

Improved market sentiment, driven by rallies in leading cryptocurrencies and regulatory clarity on the horizon, may encourage institutional investors to put these repayments to work. Lawmakers in the U.S. are advancing legislation that aims to provide clearer regulatory oversight for digital assets, further supporting market confidence.