Bankrupt Mt.Gox exchange delays the deadline for the refund to customers to April

The end date of payments has also shifted to the end of October this year

09.03.2023 - 10:45

293

2 min

What’s new? Bitcoin exchange Mt.Gox, which went bankrupt after a 2014 hacking attack, has once again delayed the deadline for distributing remaining funds to users. The start date for payments has moved from March 10 to April 6, with the deadline for completing the asset recovery from September 30 to October 31, 2023.

Mt.Gox’s statement

Mt.Gox declared bankruptcy after a hacker stole 850 000 BTC. In 2020, a plan was submitted to recover the funds from the remaining 137 891 BTC in the Mt.Gox wallet. There have been repeated concerns in the community that starting the payments would put a lot of pressure on the bitcoin rate.

What is known about the Mt.Gox payments? The refunds will be made in bitcoin (BTC), Bitcoin Cash (BCH), and Japanese yen. The two largest lenders, MtGox Investment Funds (MGIF) and the now-closed Bitcoinica crypto exchange, opted for an early lump sum payout. Their assets were not liquidated for the full cash payout. Lenders will receive a refund in the form of cryptocurrencies and cash.

Strategists at UBS noted that the refunds to Mt.Gox clients are unlikely to put much pressure on the bitcoin rate. Thus, the plan for the return of assets provides several options for payments, and early supporters of cryptocurrencies will prefer to keep BTC and not bring them to the market to sell, experts believe.

Author: