Chinese creditors challenge FTX over $470 million blockage

• FTX freezes $470 million to creditors in 49 countries
• More than 500 Chinese mobilize for fair distribution
• Fairness and transparency are the focus of the dispute with FTX

More than 500 Chinese creditors are mobilizing against FTX’s recent lawsuit seeking to delay payments to users in jurisdictions with restrictive or uncertain cryptocurrency regulations. The lawsuit directly affects $470 million in distributions, $380 million of which belongs to Chinese investors.

同步下进展：目前群里已有35位小伙伴向法官寄出反对动议，数量还在持续增加！但我觉得还不够，越多越好，欢迎更多中国债权人加入💪
同时，群里的小伙伴也给了我很多支持：
1️⃣ 有人提供了 Mt. Gox 赔偿截图，显示2024年通过 Kraken 向中国 KYC 用户发放了BTC, BCH, PayPal, PayPal, PayPal.
2️⃣…

— Will的折腾纪 (@zhetengji) July 8, 2025

The group is appealing to courts and regulators in the United States, claiming that FTX’s decision undermines principles of fairness and breaks promises made during the reorganization process. According to Will, a Chinese creditor who has retained legal representation in the U.S., “many of whom are taking coordinated steps, such as writing letters to the judge and the U.S. trustee, and exploring legal representation for the group.”

4.7 Article

$470 million is not just a cold number — behind it are countless families already hurt once. A second wound is unfolding. We can't stay silent. #FTX #FTXCreditor #CryptoBankruptcy ...

— Will的折腾纪 (@zhetengji) July 7, 2025

So far, 35 members have filed formal letters to the bankruptcy court expressing objections. The central argument is that FTX had assured them that by filing their claims and supporting the restructuring plan, creditors would be entitled to compensation on an equal basis with others.

“We were told clearly: as long as we presented our demands and voted in favor of the plan, we would be entitled to receive our distributions like everyone else,” Will said.

For him, the new attempt to withhold payments based on jurisdiction represents a violation of trust and procedural integrity. “This situation is not only unfair, but also procedurally questionable,” he declared, warning about the risks of creating a discriminatory precedent in the judicial recovery process.

FTX justifies the proposal as a way to avoid legal risks in countries where the use of cryptocurrencies may face restrictions. However, for affected creditors, the measure amounts to a selective exclusion that is at odds with the already approved plan.

Will concluded by stating that the dispute is not just financial, but also a question of fairness and respect for previously agreed rules: “We are not asking for special treatment; we are asking to be treated equally.”