Crypto trading firm Backpack, which bought the European arm of bankrupt exchange FTX, has begun the process for customers to claim their funds.

Backpack, which purchased FTX EU for $32.7 million in January, directed customers to complete the first step of know-your-customer (KYC) verification in a post on X on Tuesday.

Step two of the process will be the distribution of funds, though it is unclear when this will occur. Backpack describes this as "coming later" on its FAQ page.

Backpack's acquisition of FTX EU was criticized by the bankruptcy estate of the broader entity of FTX.

The FTX estate said Backpack had no involvement in the U.S. bankruptcy court-approved process for returning funds and that it did not have authorization to make any distributions to customers.

FTX has gathered $11.4 billion in cash to distribute to parties affected by its collapse in 2022, with payments set to commence at the end of May.

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