Nobuaki Kobayashi, the trustee overseeing the rehabilitation of the defunct crypto exchange Mt. Gox, has officially pushed back the repayment deadline. Originally set for October 31, 2023, the new deadline for creditors to receive their funds is now October 31, 2024.
Crypto Holdings: BTC, BCH, & Billions In Yen
Mt. Gox, once one of the largest and most prominent cryptocurrency exchanges, imploded in 2014 following a devastating hack in 2011, which led to the loss of a staggering 850,000 Bitcoins (BTC). This incident impacted approximately 24,000 creditors who were left in limbo, awaiting the return of their lost assets.
The exchange’s remaining assets, which include 142,000 BTC, 143,000 BCH (Bitcoin Cash), and 69 billion yen in various currencies, have been under the control of trustee Nobuaki Kobayashi since the collapse. The extended deadline for repayments is a significant development for those seeking restitution.
The announcement clarified that repayments will not be issued uniformly but will instead be made in sequence for rehabilitation creditors who have provided the necessary information.
Some creditors could potentially receive their funds as early as the end of this year, contingent on the verification of the provided information and other necessary administrative steps.
The decision to extend the deadline was attributed to the complex process of verifying rehabilitation creditors’ information, conducting discussions, and sharing information with banks, fund transfer service providers, and designated cryptocurrency exchanges involved in the repayment process. These steps are prerequisites for the distribution of assets to creditors.
The specific timing of repayments to individual rehabilitation creditors has not yet been determined, and the schedule is subject to change depending on evolving circumstances.
Meanwhile, creditors who have not yet supplied the required information are urged to do so promptly. For these creditors, the repayment process cannot commence until the necessary information is provided.
This extension provides some clarity and hope for the Mt. Gox creditors, who have endured a long and arduous journey towards recovering their lost assets. However, the cryptocurrency landscape remains ever-changing, and creditors will be closely monitoring the process over the coming year.
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