Starting this July, Mt. Gox, the infamous, now-defunct bitcoin exchange, will begin distributing bitcoin and bitcoin cash repayments valued at around $9 billion, according to a notice issued by Rehabilitation Trustee, Nobuaki Kobayashi.
The announcement by Kobayashi states that preparations are now in place for the exchange to start repayments under the Rehabilitation Plan. Debtor arrangements were carefully designed to ensure safe, secure and compliant repayments. The process will start off in order with exchanges that have been vetted and confirmed by the Rehabilitation Trustee.
This development follows reports by the Mt. Gox creditors that the trustee’s rehabilitation claims system was recently updated. The updated system reflects the amounts in bitcoin and bitcoin cash that will be repaid. In May, for the first time in five years, Mt. Gox also moved substantively, handling transactions worth at least $2.9 billion in bitcoin.
Mt. Gox, first founded in 2010, grew rapidly into the world’s biggest bitcoin exchange before suffering a severe security breach in 2014. The breach led to a loss of 850,000 bitcoin, leading to the platform’s eventual closure.
In late 2023, the Rehabilitation Trustee of Mt. Gox confirmed that creditors would receive reimbursements in the form of 142,000 bitcoin and 143,000 bitcoin cash, as well as fiat money amounting to 69 billion Japanese yen (around $432 million). These payments are scheduled to be completed by a new deadline set for October 2024.