Mt. Gox Confirms Users Bitcoin Account Ownership, Repayments to Continue

Mt. Gox is expected to continue repaying creditors throughout 2024. This was revealed through emails showing the defunct exchange confirming user Bitcoin accounts ahead of the next repayment phase.

According to users’ Reddit posts on Jan 22, the exchange informed affected parties that the Rehabilitation Trustee has confirmed their accounts and will now receive repayment in BTC/BCH.

“In the future, it is anticipated that the exchange rule accepts your subscription of agency receipts indicated on the system to receive payment in BTC/BCH as your agent. Thereafter an agency agreement will be entered into between you and the exchange. We will notify you by email when this agreement has been entered into.”

According to Reddit, MtGox recently sent an email to users to confirm the ownership of the exchange address account that the user entered earlier as the payment address for BTC/BCH. In December 2023, creditors reported that they had received compensation in Japanese yen in their…

— Wu Blockchain (@WuBlockchain) January 23, 2024

According to the Reddit activity, most users who received the email have selected Bitstamp and Kraken as their agency receipts. However, many users indicated that they had not received such an email yet.

Mt Gox Saga to Conclude in 2024

The Mt Gox bankruptcy in 2014 was caused by a hack that led to a loss of 840,000 BTC, and despite 200,000 BTC being recovered, the bulk of user assets are still missing.

At the time, the exchange controlled about 70% of mined Bitcoin. The crash effectively wiped off billions in assets at present-day values and caused widespread investigations. Consequently, charges were filed against the exchange’s former CEO.

While users lamented the situation for almost a decade, hope resurfaced when some customers confirmed they had begun receiving payments last year.

As payments tricked in, the process encountered a few hiccups with some users receiving double payments in error leading to a request for a return.

The exchange urged creditors to confirm receipt of two transactions in their PayPal accounts noting that the first was the official payment while the second was carried out mistakenly.

Nobuaki Kobayashi, the Mt. Gox rehabilitation trustee, revealed that the payment deadline has been extended from October 31, 2023, to October 31, 2024.

“Due to the large number of rehabilitation creditors who will receive repayment, the varying types of repayments, the different preparation and processing times required to make the repayment, repayments will continue into 2024.”

The exchange is expected to repay creditors 142,000 BTC and 143,000 BCH alongside fiat worth $510 million (69 billion Japanese yen).