Mt. Gox registration deadline pushed for another month
The registration dates for Mt. Gox creditors have been pushed back by another month. According to the announcement, the deadline has been moved from March 10 to April 6, allowing creditors to file claims for another month.
The distribution deadline has been pushed back by another month as well. The distribution of assets to creditors will now start from Oct. 31 instead of Sept. 30.
￼BREAKING: MT GOX REGISTRATION DEADLINE PUSHED FROM MARCH 10TH TO APRIL 6
DISTRIBUTION DEADLINE PUSHED BACK FROM SEPTEMBER 30TH TO OCTOBER 31ST
— Craig B (@altbender0x) March 9, 2023
The official document cited various circumstances for the shift in deadlines, such as the progress by rehabilitation creditors in respect of the selection and registration. Creditors have the option of a lump-sum payment, bank remittance, fund transfer service provider or going through a cryptocurrency exchange or custodian.
Creditors have been waiting for years to get compensated for losses incurred because of the exchange hack in 2014. Mt. Gox was a Tokyo-based cryptocurrency exchange that once accounted for more than 70% of Bitcoin transactions. In 2014, the exchange was hacked and filed for bankruptcy after thousands of Bitcoin (BTC) were stolen.
As Cointelegraph reported in February, Mt. Gox Investment Fund — the largest creditor of the defunct crypto exchange — chose to have an early payout in Bitcoin rather than wait longer for an even larger payment after a legal battle. The early payout meant creditors would receive approximately 90% of what was due. The bankruptcy trustee doesn’t have to sell tokens to acquire fiat funds for the payment since the creditor also chose to be paid in BTC.
The extension in deadline means other creditors will have another month to decide whether to take the lower amount now or wait another nine years to get the full amount.
The Mt. Gox creditor payout has been in focus for quite some time now, especially considering the value of BTC has increased multifold since the exchange went bust. There has been speculation about the impact of Mt. Gox creditors on the market if they decided to sell their holdings. However, a report from Bloomberg has noted that the largest Mt. Gox creditors have no plans to sell their BTC.