• Two of Mt. Gox’s largest creditors, Bitcoinica and MtGox Investment Funds (MGIF), have chosen an early lump sum payment option that will be paid out in 90% Bitcoin.
• This payment is scheduled for September 2023 and allows creditors to receive their payments sooner and avoid any potential market impact from a large-scale Bitcoin sell-off.
• Creditors who choose the lump sum option can elect to receive their payment in a mix of BTC, BCH, and yen, or they can ask for the entire amount to be given in fiat.
Mt. Gox’s Leading Creditors Opt for Bitcoin Payment
Two of Mt. Gox’s largest creditors, Bitcoinica and MtGox Investment Funds (MGIF), have opted for an early lump sum payment option that guarantees them 90% of the funds owed. The payment is scheduled for September 2023.
Avoiding Potential Market Impact
This option allows them to receive their payments sooner, while avoiding any potential market impact from a large-scale Bitcoin sell-off.
Payment Options
Creditors who choose the lump sum option can elect to receive their payment in a mix of BTC, BCH, and yen, or they can ask for the entire amount to be given in fiat.
Settlement Litigation
The other alternative is to wait for all Mt. Gox litigation to settle which may offer higher payouts but could take another 5-9 years.
Background Information on Mt. Gox Hack
In 2014, hackers stole 850,000 BTC valued at $460 million at the time from Mt. Gox exchange following which it was left with roughly 142,000 BTC , 143,000 bitcoin cash (BCH) ,and 69 billion Japanese yen .