Mt. Gox, a virtual currency exchange that collapsed in 2014, has reportedly moved a total of about 150 billion yen in Bitcoin to repay creditors.



It has been reported that a total of $9.6 billion (approximately 150 billion yen) worth of Bitcoin has been moved from a wallet held by Mt. Gox , a Tokyo-based virtual currency exchange that went bankrupt in 2014 and filed for civil rehabilitation proceedings , to a new wallet. The transfer of virtual currency by Mt. Gox is believed to be part of a repayment plan to creditors.

Bitcoin (BTC) Falls as Traders Mull Risk of Sales Linked to Mt. Gox - Bloomberg
https://www.bloomberg.com/news/articles/2024-05-28/bitcoin-btc-falls-as-traders-mull-risk-of-sales-linked-to-mt-gox



Mt.Gox Moves All $9B in Bitcoin to Single Wallet, What's Next for BTC?
https://www.coindesk.com/markets/2024/05/28/mtgox-moves-7b-bitcoin-as-part-of-repayment-plans-sparking-btc-price-plunge/

False Alarm: Former Mt. Gox CEO Says Bitcoin Repayments Haven't Started Yet - Decrypt
https://decrypt.co/232674/false-alarm-former-mt-gox-ceo-says-bitcoin-repayments-havent-started-yet

Mt. Gox was launched in 2009 as a trading card exchange, but in 2010 it shifted its business to a Bitcoin exchange. In 2011, it was acquired by Marc Karpeles, a Frenchman living in Japan, and in April 2013 it became one of the world's largest Bitcoin exchanges, handling approximately 70% of the world's Bitcoin trading volume.

However, after several years of hacking, it was discovered in February 2014 that approximately 840,000 bitcoins (equivalent to approximately 46 billion yen at the time) and a large amount of deposits had been leaked , and on February 28, the company applied for civil rehabilitation to the Tokyo District Court. Karpeles was subsequently charged with the crime of illegally creating private electromagnetic records and embezzlement in the course of business for 'inflating account balances by rewriting data in the trading system,' and was sentenced to two years and six months in prison with a four-year suspended sentence in 2019. Karpeles' suspended sentence has already expired, and he has been spared from imprisonment.

Troubles surrounding MtGox, which filed for civil rehabilitation proceedings, and the future of Bitcoin - GIGAZINE



At the time of writing, 10 years after Mt. Gox's bankruptcy, it is still working to repay its creditors, and lawyer Nobuaki Kobayashi, who serves as the bankruptcy trustee , has set the repayment deadline at October 31, 2024 .

Then, on May 28, it was discovered that a total of approximately 140,000 BTC (equivalent to approximately 150 billion yen) held by Mt. Gox had been moved in several installments to a total of three wallets.



This series of Bitcoin movements is believed to be related to the repayment of Mt. Gox's creditors. In response, concerns spread that 'if the creditors who received the repayment sell a large amount of Bitcoin at once, the price will collapse,' and the price of Bitcoin temporarily fell by 3.1%.

However, Caroline Bowler, CEO of Australian cryptocurrency exchange BTC Markets , pointed out that the impact of the Mt. Gox liquidation will be short-term and not cause for excessive concern. 'The Mt. Gox liquidation will certainly cause fluctuations in the Bitcoin price, but since the entire market is currently focused on the US's actions regarding the regulation of cryptocurrencies, this will not have a decisive impact on the price,' she said.

In addition, the price of Bitcoin has risen significantly compared to 10 years ago, and the value of Bitcoin that creditors will receive is significantly higher than it was at the time of the Mt. Gox collapse. Therefore, James Check, an analyst at blockchain consultancy Glassnode , predicts that few creditors will try to sell their Bitcoin immediately after repayment.

Regarding the Bitcoin transfer, Karpeles commented, 'As far as I know, Mt. Gox is doing well. The trustee is moving the Bitcoin to another wallet in preparation for a distribution that will likely occur later this year, but no sale of Bitcoin is imminent.'



Related Posts:

in Note, Posted by log1h_ik