CDS Crypto News Mt Gox Creditors Hit with Surprise: Bitcoin Payments May Be Delayed by Three Months

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Mt Gox Creditors Hit with Surprise: Bitcoin Payments May Be Delayed by Three Months

Ecem EFE05/07/20241 Mins read304

Mt Gox Creditors Hit With Surprise: Bitcoin Payments May Be Delayed By Three Months

Mt Gox Creditors Face Potential Three-Month Delay in Receiving Bitcoin

Mt Gox Creditors Hit with Surprise: According to a trustee document, Mt. Gox creditors might have to wait up to three months to receive their Bitcoin (BTC) or Bitcoin Cash (BCH) repayments, depending on which crypto exchanges they made their claims with.

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Mt Gox Repayments Begin: Exchange Timelines Vary

The trustee of the defunct crypto exchange announced today that it has commenced repayments to several designated crypto exchanges, following the rehabilitation plan. The timeline for these payouts to appear in creditors’ accounts varies by exchange. Kraken has been given 90 days to process payouts, while Bitstamp may take up to 60 days. BitGo will have payouts visible within 20 days, and both SBI VC Trade and Bitbank will complete payouts within 14 days.

“Each Designated Cryptocurrency Exchange is obligated to add the number of BTC/BCH to the balance of a rehabilitation creditor’s account (or to transfer BTC/BCH to a wallet linked to the account) within a certain number of days after the BTC/BCH are transferred from the Rehabilitation Trustee,” stated the trustee in the document. The trustee noted that repayments to eligible creditors will be “promptly made” if they meet certain conditions, including confirmation of the validity of registered accounts, acceptance of the intention to subscribe to an agreement by designated crypto exchanges, and completion of discussions with the trustee.

Mt Gox Transfers $2.71 Billion in BTC, Sends $85 Million to Bitbank

Earlier today, Mt. Gox moved 47,228.7 BTC (approximately $2.71 billion) to a wallet and subsequently transferred the assets in multiple transactions. This included sending 1,545 BTC ($85 million) to a hot wallet on crypto exchange Bitbank, as per data from Arkham.

Bitcoin’s price dropped below $54,000 at one point today and is currently trading at $54,270, down 6.48% over the past 24 hours. The broader crypto market saw over $665 million in daily liquidations across centralized exchanges.

FAQ: Mt. Gox Creditors Repayment Process

Why might Mt. Gox creditors have to wait up to three months for their Bitcoin or Bitcoin Cash repayments?

The timeline depends on the specific crypto exchange handling the claims, with different exchanges having different processing times.

What factors affect the repayment timeline for Mt. Gox creditors?

The timeline varies by exchange and is dependent on the completion of discussions with the trustee and validation of registered accounts.

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Ecem EFE

Since 2022, Ecem has been creating digital content, combining her passion for technology with writing. Continuing her education in the Mathematics department, Ecem focuses on producing in-depth content on areas such as blockchain, artificial intelligence, and cryptocurrency. She aims to simplify these topics and present them to a wide audience, sharing valuable insights into the crypto industry through her writing. With her innovative content, she strives to raise awareness in the digital world.