Deadline Looms for Mt. Gox Creditors to Submit Repayment Claims by Friday
Mt. Gox Bitcoin Exchange Customers Have Until Friday to Register Claims for Repayment
Former customers of the collapsed Japanese Bitcoin exchange, Mt. Gox, have until Friday to register their claims for repayment under the rehabilitation plan. Nobuaki Kobayashi, the Rehabilitation Trustee for the exchange, announced the deadline extension from the original date of January 10. Creditors have the option to receive repayment as a lump sum, cryptocurrency repayment, bank remittance, or remittance through a money transfer service.
In October 2021, creditors approved the rehabilitation proposal, which promised to remunerate about 90% of the assets owed to affected customers. At its height, Mt. Gox was the biggest Bitcoin exchange in the world, handling 70% of global Bitcoin trading volume back in 2013. However, in early 2014, the exchange filed for bankruptcy after losing 850,000 Bitcoins, worth around $450 million at the time, due to a hack.
The hack was a major blow to the cryptocurrency industry, and the subsequent bankruptcy proceedings have been ongoing for years. The rehabilitation plan was first announced by Kobayashi in September 2020, and the deadline for claims was extended in January 2021. The plan has been met with some criticism, with some creditors arguing that they are owed more than the proposed repayment amount.
Despite the criticism, the rehabilitation plan is moving forward, and creditors who have not yet registered their claims are urged to do so before the Friday deadline. The repayment process is expected to begin in the coming months, and former customers of Mt. Gox will finally receive some closure after years of uncertainty.