Mt. Gox Tests Transactions to Cold Wallets Ahead of Creditors Repayments via Bitstamp
Mt. Gox, the infamous Japanese Bitcoin exchange that collapsed in 2014, has begun final preparations to repay its creditors as it executes test transactions. This move marks a significant milestone in a decade-long journey marred by legal battles and recovery efforts.
The repayment process, facilitated through the Bitstamp exchange, involves distributing over $9.4 billion worth of Bitcoin and Bitcoin Cash to approximately 127,000 creditors.
THIS MORNING: MT GOX MOVING FUNDS
Mt. Gox addresses deposited $1 to 4 separate Bitstamp deposit addresses. Bitstamp is 1 of 5 exchanges working with the Mt. Gox Trustee to facilitate creditor repayments.
Mt. Gox currently holds: $6.08B in BTC
These transfers are likely to… pic.twitter.com/uyOLL7O065
— Arkham (@ArkhamIntel) July 22, 2024
Recently, the address associated with Mt. Gox executed the first test transactions to Bitstamp’s cold wallets.
Blockchain intelligence firm Arkham Intelligence flagged these movements on July 22, noting that Mt. Gox addresses deposited $1 to four separate Bitstamp deposit addresses.
This step signals the imminent start of the repayment process, as Bitstamp is one of five exchanges collaborating with the Mt. Gox Trustee to facilitate these repayments.
Mt. Gox, once the largest Bitcoin exchange globally, collapsed in 2014 after losing 850,000 BTC due to a massive hack. This event triggered years of legal proceedings and efforts to recover the lost assets.
In 2018, approximately 200,000 Bitcoins were recovered, initiating a lengthy rehabilitation process under a court-appointed trustee. Creditors have since been awaiting compensation, facing multiple delays that have tested their patience.
The repayment process involves distributing more than $9.4
Read more on cryptonews.com
