Bitcoin Cash

Future

Cryptocurrency

Bitcoin

<div class="fintechs">
 <div class="wp-block-image">
  <figure class="aligncenter size-full"><img decoding="async" width="640" height="341" src="https://cdn.thebittimes.com/images/2024/05/28/0f627e9e0595205d27968ecd1110ba43.webp" alt="Mt. Gox Moves $9.6B Bitcoin: Are Creditors Finally Being Repaid?" class="wp-image-45660" srcset="https://cdn.thebittimes.com/images/2024/05/28/dd74bcdc3a7dbba2a16fd3b3d0b0aad3.webp 750w, https://cdn.thebittimes.com/images/2024/05/28/dd74bcdc3a7dbba2a16fd3b3d0b0aad3.webp 300w" sizes="(max-width: 640px) 100vw, 640px" data-recalc-dims="1">
  </figure>
 </div>
 <p class=""><strong>Collapsed cryptocurrency exchange <em>Mt. Gox</em> has recently moved $9.62 billion worth of <em>Bitcoin (BTC)</em> into a new wallet, raising hopes among its creditors.</strong> This significant transfer of 141,686 Bitcoin to the wallet “1Jbez” from several cold wallets associated with Mt. Gox marks the first notable on-chain movement of funds in over five years. This movement appears to align with Mt. Gox’s plans to repay creditors by the end of October 2024.</p>
 <figure class="wp-block-embed aligncenter is-type-rich is-provider-twitter wp-block-embed-twitter">
  <div class="wp-block-embed__wrapper">
   <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
    <p lang="en" dir="ltr">#Bitcoin is holding the bullish flag, despite Mt. Gox transferring a boatload of coins.<br><br>Market is rangebound — but will quickly turn fully bullish if we get above $70,000 again.<br><br>Patience until then, but it looks strong.<br><br> pic.twitter.com/P2R7TqV85S</p>— Jelle (@CryptoJelleNL) May 28, 2024
   </blockquote>
  </div>
 </figure>
 <h3 class="wp-block-heading" id="the-history-of-mt-gox">The History of Mt. Gox</h3>
 <p class="">Mt. Gox, one of the earliest cryptocurrency exchanges, once facilitated over 70% of all trades within the blockchain ecosystem. However, following a major hack in 2011, the exchange collapsed in 2014, resulting in the loss of 850,000 BTC and affecting about 24,000 creditors. Over $9.4 billion worth of Bitcoin is owed to some of Mt. Gox’s 127,000 creditors, who have been waiting for over ten years to regain their funds.</p>
 <h3 class="wp-block-heading" id="market-reaction">Market Reaction</h3>
 <p class="">Following the first batch of Mt. Gox transfers, the price of Bitcoin dipped by 2% on May 28, reaching a daily low below $67,500 before recovering slightly above $68,000. According to Anndy Lian, an intergovernmental blockchain expert, the market reacted with a somewhat bearish sentiment due to expectations of selling pressure from the creditors once they receive their repayments.</p>
 <h3 class="wp-block-heading" id="rehabilitation-trustee-and-plans-for-repayment">Rehabilitation Trustee and Plans for Repayment</h3>
 <p class=""><em>Nobuaki Kobayashi</em>, the <em>Mt. Gox rehabilitation trustee</em>, confirmed that the recent Bitcoin consolidation is part of the exchange’s repayment plans. He stated, “The Rehabilitation Trustee is preparing to repay the portion of cryptocurrency rehabilitation claims to which cryptocurrency is allocated.” However, the trustee did not specify when the repayments would start. This repayment plan includes distributing Bitcoin and Bitcoin Cash as cryptocurrencies or selling them for fiat money, depending on the creditors’ choices.</p>
 <h3 class="wp-block-heading" id="former-ceo-mark-karpeles-reassurance">Former CEO Mark Karpeles’ Reassurance</h3>
 <figure class="wp-block-embed aligncenter is-type-rich is-provider-twitter wp-block-embed-twitter">
  <div class="wp-block-embed__wrapper">
   <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
    <p lang="en" dir="ltr">As far as I know everything is fine with MtGox. The trustee is moving coins to a different wallet in preparation of the distribution that will likely happen this year, there is no imminent sale of bitcoins happening.</p>— Mark Karpelès (@MagicalTux) May 28, 2024
   </blockquote>
  </div>
 </figure>
 <p class=""><em>Former Mt. Gox</em> <em>CEO</em> <em>Mark Karpeles</em> reassured creditors that the movement of Bitcoin from Mt. Gox wallets was part of the distribution process. He stated, “As far as I know, everything is fine with MtGox. The trustee is moving coins to a different wallet in preparation for the distribution that will likely happen this year; there is no imminent sale of bitcoins.”</p>
 <h3 class="wp-block-heading" id="future-implications-for-the-cryptocurrency-market">Future Implications for the Cryptocurrency Market</h3>
 <p class="">The movement of such a large amount of Bitcoin has sparked various reactions in the market. <em>Julio Moreno</em>, <em>Head of Research</em> at <em>CryptoQuant</em>, indicated that all coins had been transferred to a new address. Alex Thorn, head of research at Galaxy, suggested that most of the transferred Bitcoin is expected to be held by creditors instead of being sold on the open market. Despite this, market participants have shown a bearish response, with Bitcoin shedding 1.4% since the start of Asian trading hours.</p>
 <p class="">The eventual repayment to Mt. Gox creditors is poised to resolve one of the crypto industry’s most pressing, long-standing issues. The ongoing developments will be closely watched as they unfold, potentially impacting the broader cryptocurrency market.</p>
</div>
<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/mt-gox-moves-9-6b-bitcoin-are-creditors-finally-being-repaid-tbt90185.html">https://thebittimes.com/mt-gox-moves-9-6b-bitcoin-are-creditors-finally-being-repaid-tbt90185.html</a></p>

Mt. Gox Moves $9.6B Bitcoin: Are Creditors Finally Being Repaid?

Table of Contents

TheBitTimes

Other articles published on May 28, 2024

What's Going On With Shares Of Bitcoin Miner Bitfarms Tuesday?

Top Three Altcoins For Massive Returns In June 2024 – Forecast!

ORACLE MEME Coin Presale Achieves $208,000 Milestone in Minutes (28 May)

Ledger Stax Finally Ships Hardware Wallets After 18 Months

Caitlyn Jenner Caught in Memecoin Controversy on Solana Network

Floki Floats 22% On Marketing Blitz, Aims For ‘World’s Most Used Crypto’ Title

Join our free newsletter for daily crypto updates!