Mt. Gox Announces Repayment Plan for Creditors in 2023

Nearly a decade after its infamous collapse, Mt. Gox, once a leading Bitcoin exchange, is preparing to repay its creditors. In an email, the exchange’s rehabilitation trustee announced plans to initiate cash repayments in 2023. This marks a significant milestone in addressing the financial aftermath of one of the crypto world’s most significant collapses.The repayment process is expected to be complex due to the large number of creditors and the diverse nature of their claims. While the initial round of compensation will begin this year, the complete repayment process is anticipated to extend into 2024. However, the exact dates for individual creditors to receive their repayments have not been determined. Creditors will only be informed once the repayment process is more firmly established.To fund these repayments, the trustee has executed a redemption of 7 billion yen ($46.9 billion) from trust assets. This demonstrates the meticulous preparations underway. The amount of trust assets remaining after the redemption is 8,812,899,304 yen.Mt. Gox’s story is a significant chapter in the history of cryptocurrency. Launched in 2010, it quickly became the dominant player in global Bitcoin trade, handling 70% of all transactions by 2013. However, its rapid rise came to an abrupt halt in 2014 when a hack resulted in the loss of over 800,000 Bitcoins. This led to the exchange’s bankruptcy declaration and suspension of trading.The impending distribution of assets, including 142,000 BTC, 143,000 BCH, and 69 billion yen, is a crucial step in the rehabilitation process. Creditors are advised to stay updated through the claim filing system. Smaller claims will be paid in yen, with the first 200,000 yen per creditor being prioritized. Larger claims will receive a proportional distribution of around 71% in crypto and 29% in cash.This repayment plan signifies a significant development in the Mt. Gox saga, offering hope to creditors eagerly awaiting restitution.