FTX creditor representative Sunil: Chinese users are afraid they won't be able to get their money back! They make up the majority in restricted countries.

FTX's liquidation has new variables, and creditors from 49 countries may lose their claims due to cryptocurrency regulations, with the largest share being Chinese users. (Background: FTX counters Three Arrows Capital's "$1.5 billion claim doesn't count": you leveraged too high and were liquidated) (Context: The U.S. Justice Department admits it "paid too little to FTX": needs to improve the current valuation calculation, victims should enjoy appreciation) The bankrupt exchange FTX faces new turmoil in its liquidation. Creditor representative Sunli revealed on the 4th via Twitter that investors from 49 restricted jurisdictions may be excluded from the payout list due to local regulations, with the main creditor value coming from China. FTX: Restricted countries Disputed claims 49 Jurisdictions -5% allowed claims in restricted countries 82% of value in China Due to local laws that 1) crypto currency trading is not permitted or 2) distributors not allowed pic.twitter.com/wCEfAOFyaD — Sunil (FTX Creditor Champion) (@sunil_trades) July 3, 2025 Restricted countries face disenfranchisement. Sunli stated: Of the 49 jurisdictions, 5% of claims belong to claims submitted by "restricted countries", and as much as 82% of the claim value comes from China. The reason is local laws that stipulate: cryptocurrency trading is not allowed, and there can be no crypto distributors within the country. Therefore, FTX's handling steps are as follows: FTX will obtain legal opinions; if the legal opinion believes that distribution can be made to "potentially restricted foreign jurisdictions", FTX will execute; if a claimant is recognized as a resident of a "restricted foreign jurisdiction": the claim will be listed as a "disputed claim"; FTX will file a formal objection; if the dispute remains unresolved, creditors will lose their distribution rights. In other words, the FTX liquidation committee is seeking legal opinions to decide whether to allocate funds to restricted regions. If the answer is negative, the related claims will be classified as disputed and may be voided, and local users will not get their money back. Although the affected amount accounts for only 5% of the approved claims, 82% is concentrated in China. China has not fully opened civil cryptocurrency activities, and with restricted fund distribution, it has become the biggest variable. The high claim from 3AC affects the recovery rate. Another focus of the debt sheet is the $1.53 billion claim filed by Three Arrows Capital (3AC). FTX accuses 3AC of getting into trouble through high-risk trading and believes the amount is severely exaggerated. If the court ultimately approves, other investors may see their recovery ratio reduced by about 20%. Currently, the overall disputed claims have exceeded $2.2 billion, adding complexity to the liquidation. Related reports FTX sues Binance, CZ seeks $1.76 billion in damages" Binance moves to dismiss: allegations are unfounded, SBF's fraud is the root cause of the collapse. FTX launched the second round of creditor compensation on 5/30: total amount exceeds $5 billion. Netflix is preparing to film an FTX collapse series" SBF and Caroline's "love and destruction story" to hit the screen, with a strong cast revealed. <FTX creditor representative Sunil: Chinese users may not get their money back! They account for the vast majority in restricted countries> This article was originally published in BlockTempo, the most influential blockchain news media.