Registration Deadline Extended For Mt. Gox
Creditors of Mt. Gox have another month to file for their claims because the deadline to sign up has been moved back another month.
Creditors of Mt. Gox will now have to wait another month to sign up. The notice says that the deadline has been moved from March 10 to April 10, giving creditors another month to file claims.
Along with the extension of the deadline for registration, the deadline for distribution has also been moved back by a month. Instead of starting on September 30, the distribution of assets to creditors will now begin on October 30.
In the official document, a number of reasons were given for the change in deadlines, such as the progress made by creditors in the selection and registration process. Creditors can pay in one lump sum, send money through a bank or money transfer service, or use a cryptocurrency exchange or custodian.
Creditors have been waiting for years to be paid back for the money they lost in the 2014 exchange hack. Mt. Gox was a Tokyo-based exchange for digital currencies that handled more than 70% of all Bitcoin transactions at one point. In 2014, hackers broke into the exchange and stole thousands of Bitcoin. Shortly after that, the exchange filed for bankruptcy.
A reported in February that Mt. Gox Investment Fund, the biggest creditor of the now-defunct cryptocurrency exchange, chose to get paid early in Bitcoin instead of fighting in court for a bigger payment. The early payment meant that creditors would get about 90% of what was owed to them. Since the creditor also chose to be paid in BTC, the bankruptcy trustee doesn’t have to sell tokens to get cash for the payment.
If the deadline was pushed back, other creditors would have another month to decide if they want to take less than what they are owed or wait 9 more years to get the full amount.
The Mt. Gox creditor payout has been in the news for a while, especially since the value of BTC has gone up by many times since the exchange went bankrupt. People have made guesses about what would happen to the market if Mt. Gox creditors sold off their holdings. But a Bloomberg report says that the biggest creditors to Mt. Gox have no plans to sell their BTC.
