Key Points:
Kraken has confirmed receipt of BTC and BCH funds from the Mt. Gox repayment, with plans to distribute them to creditors within 7-14 days.
The Mt. Gox Trustee recently transferred 91,755 BTC worth $5.8 billion, with major transactions including 48,641 BTC and 42,587 BTC to new wallets.
Kraken has confirmed the receipt of funds from the Mt. Gox repayment, a significant step forward in the long-awaited restitution process for creditors affected by the infamous Mt. Gox exchange hack.
Read more: Mt. Gox Bitcoin Repayments Likely Disabling Half Inflows into Bitcoin ETFs
Kraken Confirms Receipt of Mt. Gox Repayment
The Mt. Gox repayment follows years of complex bankruptcy proceedings and legal negotiations aimed at compensating those impacted by the 2014 breach.
In an email to clients, Kraken announced: “We have successfully received creditor funds (Bitcoin and Bitcoin Cash) from the Mt. Gox Trustee. While we will work to distribute funds as quickly as possible, please anticipate 7-14 days for funds to be credited to your account. The amount you will receive has been determined by the Trustee, and we will distribute according to their instructions.”
The distribution process, which began on July 5, saw the Mt. Gox Trustee transfer 91,755 BTC, valued at $5.8 billion, into new addresses. Notably, large transactions included 48,641 BTC to a new crypto wallet – 3JQie, and 42,587 BTC to wallet 18vjn. This comes after the recent movement of approximately 47,000 BTC from Mt. Gox addresses to two new addresses, one of which is believed to belong to Kraken.
Mt. Gox Creditors Begin Receiving Long-Awaited Compensation
The Mt. Gox repayment required creditors to verify account authenticity and finalize agreements with crypto exchanges. In May 2024, the Mt. Gox Trustee transferred 141,686 BTC, worth $9.62 billion, to a new wallet address as part of repayment preparations, marking the first on-chain activity from the exchange in over five years.
Two Japanese exchanges, Bitbank and SBI VC Trade, have already received and distributed their allocated funds swiftly. Other firms, including BitGo, Bitstamp, and Kraken, are set to receive their payments within varied deadlines of up to 90 days.
Founded in 2010, Mt. Gox was the largest Bitcoin exchange globally until a security breach in 2014 led to the loss of 850,000 Bitcoins. The recent fund distributions, confirmed earlier this month, provide long-awaited relief to creditors.
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