Kraken plans to take on FTX creditors expecting repayments through a trading fee removal.
By Godfrey Benjamin
Edited by Marco T. Lanz
Updated
3 mins read
Kraken, a prominent crypto exchange, has recently bid to help FTX creditors and users re-enter the crypto market as smoothly as possible. The firm announced a new initiative offering fee-free crypto trading for FTX users earlier today.
This new program is for eligible clients who receive their payouts through Kraken. This gesture aims to bring relief to FTX users eager to re-enter the crypto market. This move is part of Kraken’s ongoing commitment to providing crypto traders with a user-friendly platform.
When FTX collapsed, many customers were stranded, wondering when or how they could recover their funds. With bankruptcy payments now set for release, Kraken is stepping in to help.
The exchange is one of the platforms chosen to distribute FTX’s remaining assets. As the process unfolds, Kraken aims to make it easier for customers to reinvest in crypto without the transaction fee burdens.
To make this happen, Kraken is offering new clients credits up to $105 in trading fee credits (KFEE). Notably, this depends on the funds each customer will receive in the FTX payout.
These credits are designed for Kraken Pro, the exchange’s go-to destination for spot trading, margin trading, and staking. With these fee credits, customers can avoid the usual transaction costs as they buy back into the crypto market.
Getting started with Kraken is straightforward for FTX clients. After receiving their payout, customers must complete Kraken’s full onboarding process, including identity verification. Once verified, their trading fee credits will automatically appear in their account.
The credits can be used within days, making it an easy and accessible option for those ready to reinvest in crypto.
Clients can also expect an exceptional experience on the platform, which boasts deep liquidity, tight spreads, and dedicated customer service.
Kraken has played a frontline role in client service since its founding over 13 years ago. The company was established by Jesse Powell, who had firsthand experience with the fallout from the 2011 Mt. Gox hack.
This experience inspired him to create an exchange built on robust security measures and transparent processes. These principles continue to guide Kraken’s operations today.
The long-awaited FTX reorganization plan finally took effect on January 3. This allows eligible users to start receiving repayments, addressing the fallout from FTX’s 2022 collapse. FTX debtors warned users to avoid phishing scams and to rely only on the official website to file claims and updates.
Customers who filed their claims correctly are expected to receive repayments within 60 days. Notably, the payout will start with the “convenience class” for $50,000 or less claims.
The plan, approved in October, aims to compensate 98% of users with payouts exceeding 100% of their declared holdings. This offers relief to many affected customers.
This followed confusion in late December 2024 when an FTX creditor advocate, Sunil, clarified the wrong details about the January repayment dates.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
