FTX, the bankrupt cryptocurrency exchange, has recently proposed a plan to repay creditors a total of $14.5 to $16.3 billion, which includes "billions in compensation for the time value of their investments." This proposal, which is subject to approval by the Delaware Bankruptcy Court, aims to reimburse creditors for the value of their assets at the time of FTX's bankruptcy in November 2022. However, some creditors have expressed dissatisfaction with the plan, as it does not take into account the current market prices of their assets.

According to FTX's statement, the proposed plan will allow creditors holding claims in an allowed amount below $50,000 to recover 118% of their claims, which accounts for 98% of FTX's creditors by number. The repayment is expected to occur within 60 days after the effective date of the plan. While FTX CEO and chief restructuring officer John J. Ray III expressed satisfaction with the proposal, stating that it contemplates the return of 100% of bankruptcy claim amounts plus interest for non-governmental creditors, some industry pundits have argued that the plan still falls short of being fair.

Mike Belshe, CEO of BitGo, expressed his dissatisfaction with the proposal, stating that while he understands the need for the bankruptcy process to work in a certain way, the plan does not provide victims with their money back in an amount equivalent to current market prices. This sentiment is shared by other creditors who have been advocating for a reimbursement plan that takes into account the current market value of their assets.

FTX's bankruptcy in November 2022 revealed an $8 billion hole in its finances, which its new management has been trying to recover through various means, including the sale of shares in artificial intelligence firm Anthropic in March. The proposed repayment plan is the latest effort by FTX to compensate its creditors and move forward with its restructuring process. However, the dissatisfaction expressed by some creditors highlights the ongoing challenges and complexities of the bankruptcy process.

Overall, FTX's proposed repayment plan marks a significant step forward in its efforts to compensate creditors, but it also underscores the need for a more comprehensive and fair solution that takes into account the current market value of creditors' assets. As the bankruptcy process continues to unfold, it remains to be seen whether FTX's proposal will be approved and whether it will provide the necessary relief to its creditors.