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Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01322

Institutional lockout — FTX (2025)

Survives
Case description
FTX announced a second major distribution of approximately $5 billion scheduled for May 30, 2025. This second phase covered non-Convenience Class creditors—primarily those with larger claims above $50,000. Customers were expected to receive between 54% and 120% of their claim value in this round, depending on their claim classification. Like the first distribution, payments were channelled through BitGo and Kraken. The second distribution brought FTX's cumulative payout to more than $12 billion across the two rounds, marking substantial recovery progress from the November 2022 collapse.
Custody context
Stress conditionVendor lockout
Custody systemExchange custody
OutcomeSurvives
DocumentationUnknown
Year observed2025
CountryUnited States
Structural dependencies observed
Institutional cooperation required
Outcome interpretation
Access remained possible under the reported conditions.
Source
Publicly Reported
Evidence type
News article
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Framework references
Terms guide
Survives
Access remained possible under the reported conditions.
Constrained
Access remained possible, but only with delay, dependence, or significant difficulty.
Blocked
Access was not possible under the reported conditions.
Indeterminate
There was not enough information to determine the outcome.
Single-person knowledge
Recovery depended on information or capability held by one individual who was unavailable.
Institutional dependence
Recovery depended on a third-party institution or service that was inaccessible or uncooperative.
Documentation gap
Recovery depended on instructions that were missing, incomplete, or unclear.
Authority mismatch
The person with legal authority to act did not have operational access, or vice versa.
Original text
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