FTX's restructuring plan faces opposition from U.S. trustees and some creditors

ChainCatcher news, according to The Block, the latest documents in the FTX bankruptcy case show that the U.S. trustee and some creditors have raised objections to the exchange's revised reorganization plan. U.S. trustee Andrew R. Vara pointed out ten major flaws in the plan, primarily concerning the overly broad scope of legal waivers, unequal compensation for creditors, and the refusal to bear costs related to data breaches.

Vara specifically emphasized that "convenience" category customers will receive a lower compensation ratio solely due to their smaller claim amounts.

At the same time, the largest group of FTX creditors, represented by Sunil Kavuri, has also submitted a complaint, questioning the plan's waiver provisions as too broad and calling for the establishment of a physical repayment mechanism to avoid triggering taxable events for creditors.

Currently, the confirmation hearing is scheduled for October 7, Beijing time, and it is expected that no further objections will be submitted. These objections could have a significant impact on FTX's reorganization process.