Mt Gox Creditors Reportedly Begin Receiving Repayments Nearly a Decade After Exchange’s Closure

Mt Gox Creditors Reportedly Begin Receiving Repayments Nearly a Decade After Exchange’s Closure

Crypto News – Nearly a decade after the infamous closure of the Mt Gox Bitcoin exchange, there are emerging reports on social media suggesting that creditors are finally beginning to receive fiat currency repayments. These reports, primarily surfacing on the Reddit community r/mtgoxinsolvency, indicate that the repayments, denominated in Japanese Yen, are being distributed via PayPal. This marks a significant development since the exchange’s abrupt shutdown on February 24, 2014, which resulted in the freezing of funds.

Reddit users have been at the forefront of sharing their experiences. One user, Free-end254, shared a screenshot showing a PayPal receipt, confirming the receipt of funds. Another user expressed initial skepticism, mistaking the payment notification for a phishing attempt, only to find actual funds deposited in their PayPal account.

A particular note of interest is the partial repayment of claims. A user highlighted receiving 30,283 yen, equivalent to about $200, for a part of their 0.125 Bitcoin claim, leaving a substantial amount – approximately $748 – still pending.

The repayment process is structured in multiple phases, including a base repayment, an early lump-sum, and an intermediate repayment. The initial signs of these new Mt. Gox repayments emerged on December 21, when a pseudonymous user in Japan reported receiving their claim through a bank transfer, credited in Japanese Yen.

These developments follow the announcement made by Nobuaki Kobayashi, the trustee handling the Mt. Gox Bitcoin exchange’s estate, who began informing rehabilitation creditors about the start of repayments on November 21. According to Kobayashi, the first cash repayments to creditors were slated for 2023, with expectations to continue through 2024. However, specific timelines for individual creditor repayments were not provided.

In a significant update two months prior, on September 21, the Mt Gox Trustee extended the repayment deadline from October 31, 2023, to the same date in 2024. Despite this delay, Kobayashi indicated that some repayments could commence by the end of the year for creditors who had submitted the required information.

Despite attempts by Cointelegraph to reach Mt. Gox for a statement, no immediate response was received, leaving the community to rely on these user-shared experiences and official communications from the trustee for updates on this long-awaited resolution.