TechFlow news, July 9 — According to CryptoSlate, over 500 Chinese creditors are challenging FTX's decision in a U.S. court to freeze payments to users in 49 regions with unclear cryptocurrency regulations.
These creditors argue that FTX's action violates its earlier commitments. They stated they were explicitly informed that as long as they submitted claims and voted in favor of the restructuring plan, they would be entitled to distributions on equal footing with others. Now, however, they are being denied rightful compensation based on nationality or legal uncertainty.
Earlier reports indicated that FTX applied to the court to withhold approximately $470 million in distribution funds, with Chinese creditors accounting for the largest share—around $380 million, or 82% of the total frozen amount. FTX claimed this measure aims to avoid legal risks associated with sending funds to countries where cryptocurrency usage may be restricted.
