A Chinese creditor of bankrupt crypto exchange FTX has pushed back against a proposal that could cut off creditor distributions to users in certain jurisdictions, including China.
In a filing submitted to the Delaware Bankruptcy Court, Weiwei Ji objected to the plan on behalf of over 300 Chinese creditors. Ji, a tax resident of Singapore, said FTX classified him as a Chinese creditor due to his passport, despite his residency.
“We have fully complied with every procedural requirement under the plan. The proposed motion now jeopardizes our right to distribution in an arbitrary and inequitable manner,” Ji wrote. The objection follows a motion filed by the FTX Recovery Trust seeking to evaluate claims across 49 jurisdictions flagged as “potentially restricted.” These include China, Russia, and Pakistan.
He stated that his family holds four Know Your Customer (KYC)-verified FTX accounts with combined claims exceeding $15 million.
“Distributing claims to Chinese creditors poses no legal risk to the Trustee or its agents and constitutes a required step under the bankruptcy process,” Ji stated, urging the court to reject the motion’s proposed restrictions.
He further noted that while mainland China bans crypto trading, digital assets are still considered legal property, and Hong Kong’s regulatory stance has become increasingly open to crypto.
He was also fined over $11 billion. Federal records confirm that Bankman-Fried has been moved from New York to a transfer facility in Oklahoma following nearly two years behind bars.
FTX founder Sam Bankman-Fried is now projected to be released from federal prison on December 14, 2044, after serving less than 21 years of his 25-year sentence for fraud tied to the FTX collapse.
