Overview
- The withdrawn “Restricted Jurisdiction Procedure” would have allowed the estate to designate regions as restricted after a 45-day window and cancel affected creditors’ claims.
- FTX said roughly $800 million in claims were implicated, with about 82% tied to China against an estimated $16 billion estate.
- More than 300 Chinese claimants led by creditor Weiwei Ji filed a formal objection in Delaware bankruptcy court challenging the proposal.
- The estate retains the option to refile, while creditors welcomed the step back and voiced hopes for faster distributions.
- Separately, Sam Bankman-Fried is pursuing an appeal and has published materials asserting FTX and Alameda were not insolvent.