Mt.Gox trustee begins preparations to reimburse creditors

The bankrupt Bitcoin exchange Mt.Gox has presented updated information on the reimbursement procedure in line with its rehabilitation plan.

The trustee Nobuyaki Kobayashi said preparations are underway for the payments. Creditors are asked to indicate how they want to receive their funds — in a lump-sum payment upfront or in several installments, or to opt for partial settlement in Bitcoin or Bitcoin Cash.

The exact start date for reimbursements is not disclosed in the document.

Kobayashi also said that no new applications would be accepted from the end of August until full or partial repayment under the original payout terms.

Mt.Gox filed for bankruptcy in 2014. Civil rehabilitation proceedings were launched in 2018.

Several years later, in 2020, Nobuyaki Kobayashi submitted a plan to reimburse creditors in the Tokyo court, which approved the document. At that time Mt.Gox’s wallet held 137,891 BTC.

There have been repeated concerns within the community that beginning creditor payouts from Mt.Gox could put downward pressure on Bitcoin’s price, as many holders may sell their assets after receiving them.

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