The FTX Token (FTT-USD) has soared by more than 70% as whispers of impending bankruptcy distributions swirl through the crypto community. On September 29, the token briefly hit $2.70, marking its highest price since March 2024. This bullish action seems to be a reaction to rumors suggesting that the FTX bankruptcy estate would soon start reimbursing creditors and customers.
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FTT Experienced a Tumultuous Journey
FTT’s meteoric rise comes after a period of sluggish performance, with the token trading around $1.40 over the past month. By September 30, it had dipped slightly to about $2.10, but still represented a 30% increase over the last 24 hours. These fluctuations show just how volatile the cryptocurrency market can be, particularly for a token that plummeted 80% when FTX collapsed in late 2022.
Meanwhile, rumors about distributions began circulating as the official Chapter 11 bankruptcy plan is set to be reviewed in a court hearing on October 7. If approved, the plan will allow the FTX trustee to start paying creditors with claims under $50,000 by the end of 2024, while larger creditors may have to wait until 2025 to see any funds.
A Bit of Background
Launched in 2019, FTT was designed to offer trading fee discounts and serve as collateral for futures positions. At its peak, the token reached nearly $80 in September 2021 but has since been on a rocky path. According to CoinTelegraph, the massive sell-off following FTX’s collapse was largely exacerbated when Binance sold its entire FTT holdings for “post-exit risk management,” as shared by former CEO Changpeng Zhao.
As of now, about 30,600 FTX Token holders exist, with a market cap around $330 million, according to data from blockchain explorer Etherscan. The upcoming court decision will be key to the token’s future. FTT’s recent surge indicates that the FTX saga is still unfolding.
What Is the Current Price of FTT Token?
At the time of writing, FTT is sitting at $1.9893.
