Mt. Gox Creditors Finally Receiving Long-Awaited Repayments

Creditors of the long-defunct Bitcoin exchange Mt. Gox have started receiving cash repayments for their Bitcoin, which had been trapped on the exchange since February 2014, according to reports on social media.

These bitcoins, which had been trapped on the exchange, provide this information. Several postings from the Reddit page r/mtgoxinsolvency imply that Mt. Gox has been distributing Japanese Yen-denominated repayments to users via PayPal, nearly 10 years after the funds were locked on the exchange on February 24, 2014. Mt. Gox is sending these repayments to users.

No verification has been done on any of the reports. Reddit user Free-end254 claimed, “I just got paid,” and attached a screenshot of the email containing the PayPal receipt of payment.

Another Reddit member said, “I just got money!” and added that they initially thought the email was some type of phishing scheme. However, they later confirmed the deposit of a genuine payment into their PayPal account.

Reddit users began posting about receiving payments from Mt. Gox on Dec. 26. Source: Reddit

A further user reported that just a portion of their claim for 0.125 bitcoin had been refunded. They had received a total of 30,283 yen, which is equivalent to $200 at the current exchange rate. However, they were still missing an approximate payment of approximately $748.

Creditors are scheduled to receive several installments, including the base repayment, the early lump-sum repayment, and the intermediate repayment. Creditors are scheduled to receive these installments in stages.

On December 21, a pseudonymous Japanese X (previously Twitter) user reported receiving their Mt. Gox claims through a bank transfer, which credited their account with Japanese Yen. This was one of the first cases of the new Mt. Gox repayments that came to light.

It comes barely a month after Nobuaki Kobayashi, the trustee supervising the Mt. Gox Bitcoin exchange’s estate, began sending out emails to its creditors regarding the commencement of repayments on Nov. 21. Kobayashi stated in the email that the trustee intends to initiate the initial cash payments to creditors in the year 2023.

Furthermore, he stated that he anticipates continuing the cash payments in 2024. Kobayashi did not disclose any information regarding the precise date of repayments to individual creditors concerning rehabilitation.

On September 21, 2023, the Mt. Gox Trustee announced that they would move the deadline for repayment from October 31, 2023, to the same date in 2024.

Additionally, the trustee stated that rehabilitation creditors who had already supplied the relevant information might receive certain repayments “as early as the end of this year.”