Nikolas Sargeant
Mt. Gox, the once-dominant Bitcoin exchange that collapsed in 2014, will start repaying creditors in Bitcoin and Bitcoin Cash this July. This marks a significant milestone in resolving one of cryptocurrency's most infamous financial disasters.
The exchange's downfall sparked years of legal battles and asset recovery efforts. In 2018, about 200,000 Bitcoins were recovered, leading to a complex rehabilitation process overseen by a court-appointed trustee.
Repayments are set to begin in July 2024, with the exchange distributing Bitcoin (BTC) and Bitcoin Cash (BCH) to creditors. Mt. Gox owes approximately 142,000 BTC, valued at over $9 billion, with a deadline of October 31, 2024, to complete the payments.
The crypto community is closely watching the repayment details, including distribution amounts and timelines. In May, Mt. Gox's movement of billions in Bitcoin notably impacted the market.
According to K33 Research, the exchange owes its 127,000 creditors $9.4 billion in Bitcoin, $72 million in Bitcoin Cash, and $445.8 million (69 billion Japanese yen).
This repayment process aims to finally compensate users who lost funds in the 2014 collapse, bringing closure to a decade-long ordeal in the cryptocurrency world. The initiation of these repayments marks a crucial step in resolving one of the most significant financial debacles in Bitcoin's history.
