Repayment Plan Announced for Mt. Gox Exchange Creditors: Bitcoin, Bitcoin Cash, and Cash to be Distributed in July

The trustee of the Mt.Gox exchange, which went bankrupt in 2014, has announced plans to begin paying compensation in Bitcoin, Bitcoin Cash, and cash in early July. This decision comes after a long preparatory process to ensure safe and reliable repayments to creditors, including technical support, compliance with financial regulations, and coordination with crypto exchanges.

Mt. Gox, once one of the world’s largest crypto exchanges, filed for bankruptcy in 2014 after being hacked, resulting in the loss of 850,000 BTC. The trustee has been working on a compensation plan since 2018, and in 2021, a court approved the plan to reimburse affected users. The plan includes payments in fiat money, Bitcoin, and Bitcoin Cash, with about 83% of exchange users supporting it.

The news of the upcoming payouts has caused a stir in the market, with Bitcoin falling below $62,000 and leading to a drop in the value of other cryptocurrencies in the top 10 by market capitalization. Market participants are closely watching the movement of funds from Mt. Gox and the potential impact on the market.

Some analysts predict further declines in Bitcoin in July, with expectations of a fall to new local minimums. However, others believe that the current drawdown presents an opportunity to purchase cheap bitcoins before a potential rebound. The market remains uncertain as creditors await their long-awaited compensation after a seven-and-a-half-year legal battle.