A crypto trader and marketing executive who correctly predicted FTX’s collapse said FTX creditor repayments coming a little over two years after the incident is a “win” — all things considered.
“I thought it would take longer, just because there’s so many jurisdictional issues, you’re working with so many different governments, different levels of enforcement, different levels of compliance,” Ishan Bhaidani told Cointelegraph’s Turner Wright in a Feb. 28 interview at ETHDenver in Denver, Colorado.
“You’re working with the Bahamas, FTX is multinational… and then obviously the US and a lot of money from US investors, so candidly, I thought it would take longer,” Bhaidani said.
All things considered, “I think two years is kind of a win,” said Bhaidani, one of the founders of crypto marketing firm SCRIB3.
The collapse of FTX is considered one of the biggest financial frauds in US history.
FTX illegally used customer money to fund investments at sister trading firm Alameda Research. When market prices fell, it triggered a liquidity crisis, preventing customers from being able to withdraw funds. The firm then filed for Chapter 11 bankruptcy on Nov. 11, 2022.
FTX initiated its first round of reimbursements on Feb. 18, 2025, with the next coming on May 30. Creditors eligible in the second round will need to verify their claims by April 11.
Under FTX’s recovery plan, 98% of creditors are expected to receive at least 118% of their claim value in cash.
Ishan Bhaidani’s 20-part X post on Oct. 5, 2022, correctly predicted that something “shady” was unfolding at FTX. Source: Ishan Bhaidani
Bhaidani, however, noted that it would be interesting to see whether those who bought claims from FTX creditors ended up on top or not.
“If you were taking $0.25 on the dollar and buying Bitcoin at $18,000, $20,000, $30,000 you did pretty well, right?
“You bought ETH, you didn’t do as well. You bought SOL? You did really, really freaking well, right?
Related: Sam Bankman-Fried posts for the first time in 2 years, FTX Token pumps
Bhaidani is well-known for spotting flaws in FTX’s business and predicting it would collapse one month before it unraveled.
In the interview with Cointelegraph, Bhaidani pointed to collateral damage FTX had suffered from the $60 billion Terra Luna ecosystem collapse and former FTX US President Brett Harrison leaving before he was bound for a big payout.
“He doesn’t even hit his vest on a $32 billion company… we’re talking about hundreds of millions of dollars in potential equity, why is he leaving without vesting?”
“Something has to be wrong in the kitchen over there,” Bhaidani said.
Asked whether former FTX CEO Sam Bankman-Fried would ever be pardoned from his 25-year prison sentence, Bhaidani estimated a 2% to 5% chance — though it would be even more unlikely under the current Trump administration.
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