Mt. Gox, the defunct cryptocurrency exchange, has initiated another transaction as part of its ongoing repayment plan to creditors, this time moving a small amount of bitcoin (btc) to Bitstamp, another major exchange involved in distributing funds to former Mt. Gox users.
Mt. Gox trustee continues bitcoin distribution
According to the latest data from Arkham Intel, early this morning, wallet addresses associated with Mt. Gox transferred approximately 0.02 btc each to eight different deposit addresses. These movements each represent a value of around $1,400 at current prices.
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According to Arkham, these x.com/ArkhamIntel/status/1815329609644159136″ rel=”nofollow” target=”_blank”>transfers These are most likely a precursor to more substantial transfers, likely intended as test transactions before the final distribution of funds. “THIS MORNING: MT GOX MOVES FUNDS. Mt. Gox addresses deposited $1k to 4 separate Bitstamp deposit addresses. Bitstamp is 1 of 5 exchanges working with the Mt. Gox trustee to facilitate repayments to creditors. Mt. Gox currently holds: $6.08B worth of btc. These transfers likely represent test transactions.”
Mt. Gox, once the world’s leading cryptocurrency exchange, faced bankruptcy in 2014 following a high-profile hack. Since then, the platform has been undergoing a lengthy liquidation process, handled by a court-appointed trustee. The trustee has been tasked with distributing remaining assets to creditors, a process involving several platforms including Bitstamp, Kraken, Bitbank, and SBI VC Trade.
The cryptocurrency community is keeping a close eye on these transfers, given their potential impact on the market price of bitcoin. Daan crypto Trades, a popular cryptocurrency trader on x, x.com/DaanCrypto/status/1815304884784148637″ target=”_blank” rel=”noopener nofollow”>commented“We will likely see another batch of btc from Mt. Gox sent today. There is $90,000 btc ($6 billion) left in Mt. Gox wallets as we speak. This could impact the price in the short term once it reaches creditors. Once this is all over, it will be great in the long term.”
Last week, Kraken confirmed We have received bitcoin and bitcoin Cash from Mt. Gox and anticipate distributing them to customers within 7-14 days. “We have successfully received creditor funds (btc and BCH) from the trustee of Mt. Gox. While we will work to distribute the funds as quickly as possible, please anticipate 7-14 days for the funds to be credited to your account. The trustee has determined the amount you will receive and we will distribute it in accordance with their instructions,” Kraken announced.
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The effort is part of a broader strategy that will see platforms like Kraken, Bitstamp, and Bitbank distribute funds to their customers within a maximum of 90 days of receipt. While the immediate market impact of these distributions remains a concern, the final resolution of the lengthy Mt. Gox liquidation process is seen as positive in terms of market stability and closure for creditors.
At the time of writing, btc was trading at $67,620.
Featured image created with DALL·E, chart from TradingView.com
