Mt. Gox Again Delays Bitcoin Repayments Until Next Year
The notorious 2014 security breach at Mt. Gox led to a loss of 850,000 Bitcoin from investors' accounts, setting its users on a decade-long quest for financial restitution.
For years, Mt. Gox has consistently delayed its intentions to repay the funds which users have been unable to access from the exchange since February 25th, 2014.
In 2014, the largest Bitcoin hack occurred, seeing Mt. Gox lose 850,000 BTC, representing nearly 70% of the total circulating Bitcoin at the time.
Leaked documents revealed the exchange was insolvent, causing panic and a domino effect of lawsuits.
Over the following years, amidst various legal entanglements, investors faced continual postponements of reimbursement.
In 2015, amidst ongoing bankruptcy proceedings, Mt. Gox CEO Mark Karpelès faced accusations of fraud, while users were directed to file claims for their missing Bitcoin.
Despite the fluctuating value of Bitcoin, reimbursements remained an elusive goal for most investors, with numerous extensions and delays.
By 2021, with Bitcoin's value soaring, there seemed to be renewed hope for investors. Mt. Gox creditors, accounting for approximately 99%, approved a rehabilitation plan aiming to compensate for their enormous losses.
As of 2022, registrations for reimbursements continued, with a looming release of 150,000 BTC causing concern over its potential impact on the Bitcoin market.
In 2023, the deadlines for reimbursement registrations were postponed twice. Yet, on April 7th, Mt. Gox trustee Kobayashi announced that the time frame for creditors to submit their repayment details, including payee information and payment method, had concluded.
Investors, now extending into their 11th year of awaiting restitution, face another delay, with repayment deadlines pushed from October 31st, 2023, to October 31st, 2024.
