Mt.Gox Creditors Report Account Hacking Attempts

Clients of the defunct Mt.Gox exchange have taken to the subreddit r/mtgoxinsolvency to report widespread attempts by unknown parties to access their accounts on the platform.

Some users speculate that the perpetrators are employing a brute force method. In all instances, two-factor authentication has thwarted the hackers.

These reports emerged following the transfer of crypto assets by the exchange’s trustee to Kraken for subsequent compensation payouts.

“I suspect some malicious actor has a record of all (or many) Mt.Gox emails and is trying to brute force them. This has happened before. As long as you have 2FA, you should be fine,” wrote one user.

Some users suggested that the platform might have suffered a data breach. Other theories included a system malfunction on the platform itself.

According to several complaints, there was a slowdown in the operation of the Mt.Gox website. At the time of writing, it is undergoing maintenance.

Meanwhile, commentators note that the exchange has transferred 65% of crypto assets for creditor payouts, which has not significantly impacted the price of Bitcoin.

Already 65% of Mt Gox creditors have been repaid and price is up. pic.twitter.com/HUL2c4wLxZ

— Charles Edwards (@caprioleio) July 17, 2024

Mt.Gox will distribute a total of 138,985 BTC valued at approximately $9 billion. Analysts had suggested that the sale of these assets could exert market pressure, though some opinions deemed such concerns exaggerated.

However, Kraken users in the subreddit reported that funds have yet to be credited to their accounts.

The price of digital gold has remained largely unchanged over the past day: — 0.8%. The coin is trading near $64,700, having gained over 11% in the past week.

Former Mt.Gox owner and CEO Mark Karpeles does not anticipate mass cryptocurrency sales by the platform’s clients.