FTX Updates: $340 Million in User Claims Pending KYC as BitGo and Kraken Prepare Initial Distribution

COINOTAG News reported on February 8th that Sunil, a representative for FTX creditors, revealed via social media that the exchange has begun notifying users who hold claims of $50,000 or less. This initial outreach signifies a crucial step in the ongoing claims process post-FTX’s bankruptcy. Notably, the initial distribution funds have already been deposited with distribution service providers such as BitGo and the Kraken platform. However, despite these advancements, a significant portion of funds—amounting to approximately $340 million—remains inaccessible as users with claims under the $50,000 threshold have not yet completed their Know Your Customer (KYC) processes. This situation underscores the importance of compliance in asset recovery and the ongoing need for affected users to finalize their KYC to access their funds.