Creditors of the now-defunct Mt. Gox Bitcoin exchange, which suffered a devastating hack in 2014 resulting in the loss of 850,000 BTC, have received an encouraging email hinting at forthcoming repayments.
On November 21, Nobuaki Kobayashi, the trustee responsible for overseeing the estate of Mt. Gox, began sending emails to rehabilitation creditors, indicating the start of repayments.
According to the email circulating on social media, Kobayashi plans to initiate the first repayments in cash during 2023, with expectations of continuing into 2024.
However, specific timelines for individual rehabilitation creditors were not provided, citing the complexity of handling repayments for the large number of creditors with various types of claims.
This news coincided with the announcement of the redemption of trust assets on November 22.
The rehabilitation trustee disclosed the receipt of 7 billion Japanese yen (approximately $47 million) to finance the repayment of claims, leaving trust assets at 8.8 billion yen, roughly $59 million.
The trustee also affirmed ongoing preparations for base, lump-sum, and intermediate repayments.
The Mt. Gox community greeted these developments with mixed reactions. Some found the email from the Mt. Gox trustee cautiously promising, finally seeing progress after years of uncertainty.
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However, others pointed out that the email only mentioned cash payments, whereas many victims of the Mt. Gox hack anticipated the return of substantial Bitcoin holdings.
Data from the Mt. Gox balance bot on X (formerly Twitter) indicated that the trustee holds 135,890 BTC in known addresses, valued at nearly $5 billion at the time of writing.
An additional 3,795 BTC (equivalent to $130 million) is held in unknown addresses, according to the Mt. Gox balance bot.
Some creditors acknowledged that while cash payments represent progress after a decade of waiting, they eagerly await the return of their Bitcoin holdings.
Additionally, the recent lawsuit filed by the United States Securities and Exchange Commission (SEC) against Kraken on November 21 caught the attention of the Mt. Gox community.
Kraken has played a significant role in the repayment process for Mt. Gox hack victims.
Concerns were raised about potential delays if Kraken were to face difficulties, leading to further delays in the repayment process.
Despite the newfound optimism within the Mt. Gox community, some remain skeptical due to the exchange’s history of failing to meet repayment deadlines.
Initially expected to complete repayments by October 2023, the trustee officially extended the deadline to October 2024 in September 2023.
The road to recovery for Mt. Gox creditors continues to be marked by uncertainty and anticipation.
