FTX Announces Partnership With Payoneer to Facilitate Distribution of Compensation Funds to Retail Customers

FTX adds Payoneer as a distribution partner to simplify global compensation payments to retail customers. Customers opting into Payoneer must waive rights to direct cash distributions from FTX. Partnership supports the court-approved Chapter 11 recovery plan and enhances disbursement accessibility.

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Pardon Joshua
Pardon Joshua
Pardon Joshua is a seasoned crypto journalist with three years of experience in the rapidly evolving blockchain and digital currency space. His insightful articles have graced the pages of reputable publications such as CoinGape, BitcoinSensus, and CoinGram.us, establishing him as a trusted voice in the industry. Pardon's work combines in-depth technical analysis with a keen understanding of market trends, offering readers valuable insights into the complex world of cryptocurrencies.

FTX Recovery Trust and FTX Digital Markets Ltd. have officially announced a strategic partnership with Payoneer to assist in distributing compensation funds to eligible retail customers. 

Payoneer, a global financial technology company operating in over 190 countries, will serve as a new distribution service provider for FTX’s recovery process. 

The move is aligned with the FTX Chapter 11 Plan of Reorganization, approved by the United States Bankruptcy Court for the District of Delaware.

Also, there is the FTX DM’s liquidation process overseen by the Supreme Court of The Bahamas. 

The addition of Payoneer is expected to streamline global fund disbursements and support wider accessibility for claimants.

Payoneer Joins BitGo and Kraken as Key Distribution Partners

The integration of Payoneer marks it as the third official distribution service provider working with FTX, joining BitGo and Kraken.

Within FTX Digital Markets specifically, Payoneer becomes the second provider involved in processing distributions. 

Customers can expect Payoneer to begin facilitating payments, which started on May 30, 2025.

The multi-provider framework is designed to increase flexibility and ensure timely fund delivery for users across various jurisdictions. 

The expanded distribution network demonstrates FTX’s commitment to honoring its restructuring commitments and providing a secure and efficient recovery mechanism for affected users.

Also Read: FTX Commences $5 Billion Second Payout to Verified Creditors

Customers Must Opt In and Waive Direct Cash Distributions

Customers who choose to receive their compensation through Payoneer must actively select this option and complete onboarding with Payoneer. 

Importantly, this selection is irreversible and comes with a legal trade-off. By opting into Payoneer, customers are agreeing to waive their right to receive direct cash distributions from FTX. 

Instead, FTX will transfer the corresponding cash amount directly to Payoneer, which will then deposit the funds into the customer’s chosen bank account in the preferred local currency. 

The process is intended to simplify cross-border payments and improve accessibility, but it requires customers to understand and accept the legal implications of their election.

Also Read: FTX Founder Sam Bankman-Fried Could See Sentence Reduced by 4-Years as Caroline Ellison Set for 2026 Release

Support and Post-Distribution Assistance

Once distributions have been made, customers are advised to reach out to their selected distribution service provider, such as Payoneer, BitGo, or Kraken, for any questions or issues related to fund receipt. 

FTX has made it clear that post-distribution inquiries must be handled directly through these service providers. 

The division of responsibility ensures that users can receive specialized assistance related to their chosen method of disbursement. 

The partnership with Payoneer underscores FTX’s effort to meet its obligations in a structured, transparent, and globally coordinated manner as the company continues its path through bankruptcy recovery.

Also Read: Backpack Exchange Enables FTX EU Customers To Withdraw Frozen Euros

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