Mt. Gox creditors finally getting paid after 10 years

Creditors of long-failed cryptocurrency exchange Mt. Gox have finally started receiving payments for their Bitcoin (BTC), which has been locked up on the exchange since February 2014.

On Dec. 25, on the mtgoxinsolvency Reddit page, users speculated that Mt.Gox was sending refunds in Japanese yen through PayPal – almost ten years after the funds were blocked on the exchange on Feb. 24, 2014.

In particular, one of the Reddit users, Free-end254, stated that he received payments and attached a screenshot with confirmation from PayPal. Another user also confirmed receipt of funds, noting that he initially mistook the message for phishing.

Mt. Gox creditors finally getting paid after 10 years - 1
Source: Reddit

In late November, Mt. Gox creditors received an email from the bankruptcy trustee, who announced their intention to initiate payments. However, due to the different types of payments and other processing times, payments will continue into 2024. As part of this process, Mt. Gox will distribute various assets among creditors.

In September, the court allowed Mt. Gox to extend the deadline for repayment of payments to hacking victims until Oct. 31, 2024. It was previously announced that creditors’ losses would be reimbursed by the end of October. However, Kobayashi said the trustee could not complete the payments by the agreed date.

Mt. Gox creditors have been waiting for repayment for almost a decade, and the payment deadline has been postponed several times. In the future, debt repayment may affect the Bitcoin price as creditors begin to sell or exchange the received crypto assets.

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