FTX estate, now bankrupt, has revealed a fresh reorganization strategy promising significant returns to its debtors. Under this plan, creditors with claims under $50,000 could see a recovery of 118% within 60 days of court approval. Additionally, other creditors would receive their full claims along with up to 9% interest.

The plan also addresses settlements with regulatory bodies like the IRS and CFTC, with the IRS slated to receive around $200 million. FTX expects to collect and convert assets valued between $14.5 and $16.3 billion, mainly from monetizing investments and litigation claims.

John J. Ray III, FTX's CEO, expressed satisfaction with the proposed plan, aiming to return 100% of claim amounts plus interest to non-governmental creditors. However, some creditors are dissatisfied, citing concerns about the plan's fairness and the inclusion of an Exculpation clause.

Despite mixed reactions, Bloomberg ETF analyst James Seyffart praised the plan for its moral direction, even though it might not fully compensate creditors for their losses.