- The exchange collapsed in 2014 after multiple hacks resulted in the loss of over 740,000 BTCs.
- Mt.Gox has been changing deadlines for payments.
Defunct cryptocurrency exchange Mt. Gox will start processing payments for users starting early July. Payments to users will be in the form of Bitcoin and Bitcoin Cash. In a blog post, Mt. Gox said:
“The Rehabilitation Trustee will commence the repayments in Bitcoin and Bitcoin Cash in due course to the cryptocurrency exchanges with which the Rehabilitation Trustee has completed the exchange and confirmation of the required information for implementing the repayments.”
The trustee urged users to be patient, pointing out that the order of payments will depend on the cryptocurrency exchanges and the confirmation of the pertinent information.
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Significant Bitcoins in Repayments
Over 127,000 creditors expect to be paid by Mt.Gox. This comes after over 10 years since the collapse of the exchange in 2014, orchestrated by multiple hacks.
During the 2014 incident, over 740,000 Bitcoins are estimated to have been lost, worth about $15 billion at the current BTC prices. The hack was the biggest on an exchange at the time, forcing the Bitcoin price to slip below $500. Mt. Gox was handling more than 70% of Bitcoin transactions then.
Although the trustee has been putting together a repayment platform for several years, they have changed deadlines. On May 28, Mt.Gox moved 141,686 BTC, estimated to be worth $9.62 billion, into a new wallet from cold wallets connected with the collapsed exchange. This marked the first on-chain transfer of funds in more than five years as the exchange put in place plans to repay creditors.
