FTX to Pay $900M in Fifth Creditor Distribution; Senate Rejects SBF Clemency

The FTX Recovery Trust announced that a fifth round of creditor repayments will begin on July 31, 2026, distributing roughly $900 million to eligible claimants. Payments will be sent via BitGo, Kraken or Payoneer within one to three business days after the record date of June 16. The distribution covers both “Convenience” and “Non‑Convenience” claim classes, with smaller accounts receiving up to 120 % of their approved claims and larger classes recovering between 103 % and 105 % of the amounts owed. After this tranche, total repayments from the bankruptcy estate will exceed $10 billion, marking one of the largest cryptocurrency‑bankruptcy recoveries in history.

Separately, the United States Senate unanimously passed a non‑binding resolution (S.Res. 772) stating that former FTX founder Sam Bankman‑Fried should receive “no pardon, commutation or any form of executive clemency under any circumstances.” The bipartisan measure was introduced by Senator Cynthia Lummis (R‑WY) and Senator Ruben Gallego (D‑AZ) and adopted by unanimous consent in mid‑July 2026. The resolution, while not limiting the president’s constitutional pardon power, underscores Senate opposition to any leniency for Bankman‑Fried, who is serving a 25‑year sentence after a 2023 conviction on seven fraud‑related counts and will not be eligible for release until around 2044. President Donald Trump has publicly said he has no plans to grant a pardon.