NEWS FLASH: Beginning in July of 2024, Mt. Gox will pay its creditors $9.2 billion in bitcoin and bitcoin cash

The notorious Japanese cryptocurrency exchange Mt. Gox has said that beginning in July 2024, it would start distributing recovered Bitcoin (BTC) and Bitcoin Cash (BCH) to creditors. After the Mt. Gox exchange collapsed in 2014 as a result of a huge cyberattack, a restoration strategy was initiated. This represents a significant advance in that endeavor.

The following amounts are to be distributed by Mt. Gox, as per court records and reports from creditors:

A chunk of the Bitcoin taken during the 2014 breach was 142,000 BTC, which is now worth almost $8.8 billion (at a price of $62,000 per BTC).

140,000 bitcoin: This amounts to almost $400 million at the current price of about $650 per BCH.
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Although the precise timing of distribution is yet unknown, creditors should anticipate receiving their shares in accordance with the percentage of their confirmed claims.

According to the notification, the Rehabilitation Trustee has finished the required exchange and confirmation processes with cryptocurrency exchanges, so the repayments may be processed via them.

The Possible Effect on the Market
Potentially conflicting reactions from the bitcoin market may accompany the imminent Mt. Gox payout. It is possible that the price of Bitcoin Cash (BCH) may fall if a huge quantity of it were to suddenly enter circulation. On the other hand, more creditors wanting to sell or trade BCH could make up for this.

The effect on Bitcoin (BTC) is unclear. With such a little fraction of the overall supply in circulation, the distribution amount is unlikely to have much of an impact on prices. Nevertheless, the general attitude towards Mt. Gox's recovery may have an immediate impact on the market's perception of Bitcoin.

Crypto is now selling for $62,000 on the announcement of the impending repayments. The top cryptocurrency, however, has fallen 2.7% in the last day and 5.3% in the last week.

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