After FTX’s EU ARM acquisition, the backpack will be fund billing process for EU customers

Backpack, a crypto exchange founded by former FTX executives, has launched the fund billing process for FTX EU customers as part of its ongoing global efforts to distribute FTX Bankruptcy Recovery Funds.

On April 1, Backpack announced the launch of a two-stage process for customers to bill Eurofunds. Step 1 ID verification is currently live, and Step 2, fund withdrawal will be announced soon.

FTX’s Chapter 11 Bankruptcy Restructuring Plan was approved by a US Bankruptcy Judge in October 2024, paving the way for the distribution of funds to creditors. The approval was set in the launch of repayment efforts with Kraken and Bitgo handling the global distribution.

Kraken and Bitgo have been selected as official partners to support the technical aspects of repaying creditors during bankruptcy proceedings, but the role of backpacks in the FTX EU client fund repayment process is part of the acquisition agreement. The backpack has just acquired a former European division of the FTX Exchange, approved by the FTX Bankruptcy Court and the Cyprus Securities and Exchange Commission. This allowed the backpack to recover its FTX EU license and provide a set of crypto derivatives trading services to its EU customers.

You might like it too: Crypto Exchange backpack, founded by former FTX executives, gets FTX EU

FTX Crypto Exchange, which filed for bankruptcy in November 2022, began its $13 billion repayment process on February 18th, initially focusing on “convenience class” creditors. These were billed up to $50,000 and were facilitated by Bitgo and Kraken. These creditors will receive full compensation for the awarded claims and annual interest rates dated back to November 2022 by April 11th.

Earlier this month, FTX creditor representative Sunil confirmed that a second round of payment distribution covering bills of over $50,000 will be made on May 30.

You might like it too: FTX to commence the next round of payments on May 30th