Mt. Gox to Begin Repayments in July; BTC Slides Under $61K

The defunct crypto exchange is supposed to return over 140,000 bitcoin to victims of the 2014 hack.

Defunct crypto exchange Mt. Gox will begin repaying victims of the 2014 hack in the first week of July, the exchange said Monday.

The trustee is preparing to make repayments in bitcoin (BTC) and bitcoin cash (BCH) under the rehabilitation plan, trustee Nobuaki Kobayashi said in a statement posted on the Mt. Gox website.

“The repayments will be made from the beginning of July 2024,” Kobayashi said, adding that relevant due diligence and safety steps will be required before payments are made.

The repayments are expected to add selling pressure to bitcoin markets as early investors will receive assets at a much higher value than their entries before 2013, making them inclined to sell at least a part of their holdings, traders said.

Mt. Gox was once the world’s top crypto exchange, handling over 70% of all bitcoin transactions in its early years. In early 2014, hackers attacked the exchange, leading to the loss of an estimated 740,000 bitcoin ($15 billion at current prices). The hack was the largest of the many attacks on the exchange in the years 2010-13.

Trustees have put together a repayment plan that has been in the works for several years, and received a deadline of October 2024 from a Tokyo court last year.

In May, the exchange moved over 140,000 BTC, worth around $9 billion, from cold wallets to an unknown address in 13 transactions for the first time, marking the first on-chain wallet movements for the first time in five years.

Bitcoin prices dropped from over $62,300 in early Asian hours to under $62,100 in the minutes following the release of Mt. Gox’s statement, CoinGecko data shows.

News source：https://www.kdj.com/cryptocurrencies-news/articles/mt-gox-repayments-july-btc-slides-k.html

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