Backpack Launches Verification Process to Repay FTX EU Claimants

Crypto exchange Backpack has initiated its claims process for former FTX EU users by launching identity verification through mandated KYC. As part of its acquisition of the defunct FTX EU platform, Backpack’s CEO Armani Ferrante confirmed the move intends to validate claimants before funds are withdrawn. The platform requires users to verify their identity using the same email from their FTX EU accounts, ensuring legitimacy and preventing fraud. This development comes as the broader FTX estate gears up for its first round of large creditor repayments, with disbursements scheduled to begin by May 30, and most claimants expected to recover around 118% of their debts based on bankruptcy filing values. Backpack’s acquisition of FTX EU granted it access to a MiFID II license, enabling it to offer compliant crypto derivatives, including perpetual futures, across the European Union. The initiative underscores efforts to restore trust in the digital asset industry by addressing unresolved liabilities and enhancing regulatory compliance.