Mt. Gox, the cryptocurrency exchange that famously collapsed in 2014, continues its long process of reimbursement by transferring a substantial amount of Bitcoin to the exchange Bitstamp and another unknown address. On July 24, Mt. Gox offloaded 5,106 Bitcoin, valued at approximately $335 million, as part of its ongoing efforts to repay creditors.
Details of the Bitcoin Transfers
According to data from Arkham Intelligence, two significant transactions totaling 5,106 Bitcoin occurred at 6:16 AM UTC. The distribution involved sending 2,237 BTC, worth about $147 million, directly to Bitstamp, while approximately 2,869 BTC was directed to an unknown address. This unknown address swiftly transferred the funds to a second wallet, which eventually moved the Bitcoin to additional addresses associated with Bitstamp.
The transfer to multiple Bitstamp wallets suggests a strategic approach to allocate repayments among specific creditors. This method allows for a more organized and potentially swifter distribution process, ensuring that each creditor receives their due share without unnecessary complications.
This latest movement of funds aligns with Mt. Gox’s announced repayment plan. On July 5, the exchange declared its intention to “promptly” distribute the owed funds in both Bitcoin and Bitcoin Cash to its creditors. As of the latest updates, over 66% of the Bitcoin owed to creditors has been successfully distributed, indicating significant progress in the repayment efforts.
Exchange Collaboration
Bitstamp, which is among the five exchanges collaborating with Mt. Gox to facilitate the Rehabilitation Plan, plays a crucial role in the process. Despite reaching out for comments, Cointelegraph reported that Bitstamp had not responded about the current status of the repayments as of publication.
While initial reports suggested that Mt. Gox held around 90,344 BTC worth approximately $6 billion, more recent coverage from Cointelegraph corrected these figures. It was reported that after significant transactions on July 23 and July 24, Mt. Gox’s holdings were reduced to about 42,744 BTC, valued at $2.85 billion. Furthermore, additional transfers on July 24 included 37,477 BTC at 4:53 AM UTC and another 5,106 BTC at 6:16 AM UTC, cumulatively amounting to 42,583 BTC moved within just four hours.
Following these substantial disbursements, the tracked entity of Mt. Gox now reportedly holds only 161 BTC, equivalent to just $10 million. This dramatic decrease underscores the extent of the repayment process and signals a nearing end to the long-standing saga of creditor reimbursements.
| Date and Time | BTC Amount | Destination | Approximate Value (USD) |
|---|---|---|---|
| July 24, 6:16 AM UTC | 2,237 BTC | Bitstamp | $147 million |
| July 24, 6:16 AM UTC | 2,869 BTC | Unknown address | $188 million |
| Total on July 24 | 5,106 BTC | Mixed destinations | $335 million |
| Post-Transactions | 161 BTC | Remaining balance | $10 million |
Mt. Gox’s continued efforts to reimburse its creditors are crucial in resolving one of the cryptocurrency world’s most infamous collapses. The strategic management of these repayments, through collaborations with major exchanges like Bitstamp, ensures that the process remains transparent and efficient. As the remaining Bitcoin is distributed, the financial saga that once shook the crypto world is finally drawing to a close.
Featured image credit: DALL-E by ChatGPT
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