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Some creditors have reported cases of scammers trying to gain access to their Mt. Gox accounts amid the ongoing Bitcoin repayment process.
Defunct cryptocurrency exchange Mt. Gox is actively pursuing its Bitcoin repayment plans. It has been moving cryptocurrencies to different exchanges since it announced its intention to kick-start the process. Arkham Intelligence discovered that the exchange moved 0.021 BTC to a new wallet in the early hours of Monday. This transaction is suspected to be a test transfer that typically precedes the actual offload.
Bitcoin is currently trading at $67,295.73 with a 0.82% increase in the last 24 hours. By this value, the transferred asset is worth about $1,400.
Bitstamp Might Receive Mt. Gox Bitcoin after Kraken
Particularly, Arkham Intelligence labeled one of the recipient addresses to be associated with the crypto exchange Bitstamp. Towards the end of June, Mt. Gox disclosed that it would commence the repayment starting in July. This led its Rehabilitation Trustee Nobuaki Kobayashi to say that the repayment would be done in collaboration with certain cryptocurrency exchanges.
He noted that he must have completed the exchange and confirmation of required information for implementing the repayment for these crypto exchanges. Bitstamp, Kraken, and a few other centralized exchanges fall into this category. Of course, this exchange is expected to have received Bitcoin and Bitcoin Cash (BCH) to repay Mt. Gox creditors.
Bitstamp had earlier assured beneficiaries that it would ensure prompt distribution of its portion of the asset to them as soon as it receives it. About a week ago, Kraken confirmed that it has received some assets from the defunct exchange through an email that it sent to Mt. Gox creditors. Similarly, Bitbank and SBI VC Trade, two cryptocurrency exchanges in Japan, have received their allocated Bitcoin from Mt. Gox for the purpose of distribution.
Once such a transfer is confirmed, it is expected that the crypto exchange kick-starts the distribution and completes it within 7-14 days. The two Japanese exchanges have allegedly distributed the assets upon receipt. More distributions are expected to happen before the end of July given the timeframe for the allocated Bitcoin.
Mt. Gox Creditors Reports Unauthorized Login Attempts
Some creditors have reported cases of scammers trying to gain access to their Mt. Gox accounts amid the ongoing Bitcoin repayment process. Reddit user ovkovk highlighted the issue in a post under the insolvency sub-editor forum saying:
“Just received 15 notifications for account login … Is Mt. Gox under attack?”
The hacker is allegedly applying brute-force techniques, that is, testing a series of keys and code to compromise user accounts. He is definitely trying to gain access to these accounts and withdraw the creditors’ Bitcoin when it is eventually paid by the preselected cryptocurrency exchanges. Two-factor Authentication (2FA) was touted to be presumably safe to keep the hacker away.
Mt. Gox seems to have gotten the situation under control. In the meantime, the broad crypto industry is watching out for what Mt. Gox creditors will do with their holdings. What seems likely is that the Bitcoin Cash will be converted to Bitcoin as many consider it less valuable.
