The Mt. Gox Investment Fund, the defunct Bitcoin exchange’s largest creditor, has no plans to sell the Bitcoins it will receive later this year.
Update March 9, 2023, 09:15 UTC: The registration dateline for creditors has been pushed back from March 10 to April 6
According to a March 9 Bloomberg report, the Mt. Gox Investment Fund plans to retain the assets due to it in September.
The fund brought claims against Mt. Gox, which went bankrupt in 2014. The report added that it opted for an early payout this year instead of waiting for all the litigation to be resolved.
The unnamed source said the fund would get 90% of what’s collectible. This will be split into around 70% Bitcoin and 30% cash. However, there were no details of the actual amount of BTC.
Mt. Gox creditors have until Friday to decide on a September payout or wait for the possibility of better claims. According to a March 7 announcement, the creditor selection and registration deadline was moved from Jan. 10 to March 10.
It noted:
“Rehabilitation creditors who have not completed the Selection and Registration by the deadline will not be able to receive any of the repayments.”
Mt. Gox Bitcoin Stash Soon Unleashed
According to documentation, the bankruptcy trustee held a stash of 141,686 BTC as of September 2019. At current prices, the Bitcoin horde is worth around $3 billion.
It also held 69 billion Japanese Yen (around $500 million) and 143,000 Bitcoin Cash (BCH) worth around $16.7 million. Creditors approved the rehabilitation proposal in October 2021.
Furthermore, the trustee sold around 35,800 BTC and 34,000 BCH between December 2017 and February 2018.
BTC was priced at around $700 when Tokyo-based Mt. Gox suspended trading in February 2014. Since then, it has surged in value by around 3,000% to current levels.
At its peak, Mt. Gox was the world’s largest Bitcoin exchange. It handled 70% of the global BTC trading volume back in 2013.
Will Creditors Sell or Hodl?
Crypto investors have been concerned about so many coins flooding the market and crashing prices. However, the largest creditor’s decision to hold should alleviate some of those worries.
According to Mt. Gox Legal, a cooperative created for former customers, the total number of approved claims by creditors is 799,722.6 BTC.
On March 8, BeInCrypto reported that seized BTC from the Silk Road raid had been moved by wallets connected to U.S. government law enforcement.
Sponsored
Sponsored
Disclaimer
BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.
Be the first to comment