4 months ago
25 ARTICLE AD
Following Kraken exchange’s recent distribution, Mt. Gox creditors have now been slated to receive the final batch of their long-awaited funds.
Earlier today, Bitstamp, a renowned digital currency exchange, announced it will distribute the next batch of Bitcoin, Bitcoin Cash, and Ethereum to affected parties.
The Payout Process Continues
Bitstamp, a platform that ranks among the oldest in the cryptocurrency exchange sphere, disclosed that it would soon initiate the disbursing of digital assets to creditors of the defunct Mt. Gox exchange.
On Wednesday, Bitstamp confirmed the receipt of significant amounts of Bitcoin, Bitcoin Cash, and Ethereum from the Mt. Gox trustees. The distribution to eligible Bitstamp account holders will start on Thursday, July 25.
The distribution represents a key step in the unwinding of what remains following the 2014 collapse of Mt. Gox, which led to thousands of customers being denied access to their tokens. Now, these users will have the opportunity to receive a share of restitution that consists of billions in digital assets.
Bitstamp has pledged to distribute the funds responsibly, focusing on security and orderliness. In a notice on social media, the exchange stressed its commitment to carefully screening all transfers for security implications. The post noted:
We’re pleased to announce that we’ve received the Mt. Gox assets. We’re working diligently to distribute them to our Bitstamp customers who are Mt. Gox creditors. Please allow up to one week for security checks. We’ll inform you when the transfer is finalized. Thank you for your patience and trust.
The exchange also mentioned a tailored distribution plan for UK residents, promising to keep them informed and ensure they receive their assets promptly.
Update On The Recent Distribution
Meanwhile, Kraken appears to have distributed all the crypto assets it received from Mt. Gox to the creditors.
1/ @krakenfx has successfully distributed #Bitcoin and Bitcoin Cash from the @mtgox estate back to creditors.
It’s been nearly a decade since Kraken was selected by the Trustee to facilitate the investigation and return of client funds. It was our privilege and it was our duty. pic.twitter.com/ptKexzN4gm
— Dave Ripley (@DavidLRipley) July 23, 2024
Before the beginning of the distribution, many had expected a handful of creditors to cash out the distributed funds, thereby negatively impacting the crypto market, especially Bitcoin. However, contrary to these expectations, data shows the creditors were interested in holding rather than selling.
CryptoQuant CEO Ki Young Ju particularly reported:
Mt. Gox creditors received Bitcoin 4 hours ago. There has been no significant spike in hourly spot trading volume dominance or BTC outflows on Kraken since then.
Ju mentioned that this seems like a “positive sign,” although he noted, “We need to wait for the Asian time zone.”
Adding to this “positive” sentiment, a CryptoQuant analyst has reported that there has been a significant increase in BTC withdrawals from Kraken following the payout, which indicates that creditors are “not selling and are preparing to hold their coins, moving them from the exchange to cold wallets.”
Bitcoin outflow on Kraken. | Source: CryptoQuant
Featured image created with DALL-E, Chart from TradingView
