According to Bitcoin.com, FTX's proposed restructuring plan includes the establishment of a trust company, "FTX Ventures Trust," designed to manage long-term investments, digital tokens, and private startups that the firm does not plan to sell immediately after exiting bankruptcy.
FTX CEO John J. Ray III revealed that the company submitted a reorganization plan early in the bankruptcy process to receive feedback from creditors. The team anticipates working with creditors in Q3 2023 to revise the plan and file a disclosure statement in Q4.
The restructuring plan proposes setting up an "offshore exchange company" and the creation of FTX Ventures Trust. The objective of this trust is to manage long-term investments and distribute cash from these holdings over time. FTX has not yet determined if the trust will be owned by FTX's bankruptcy estate or traded separately post-bankruptcy. The intent is to optimize the value of these illiquid investments, which cannot be easily sold by FTX's administrators once the bankruptcy is resolved.
Based on earlier news, the FTX creditor alliance FTX 2.0 Coalition tweeted that FTX had submitted a restructuring plan outlining that all non-customer claims, including those from the US Internal Revenue Service, would hold a subordinate position, and the amount for FTT claims would be zero. Offshore exchanges are set to relaunch to address customer gaps.
