Mark Karpeles, the former CEO of the defunct cryptocurrency exchange Mt. Gox, will launch a new crypto exchange called EllipX this month.

Based in Poland, the platform will initially serve European users with plans to expand globally. It will start as crypto-only but potentially add banking and fiat currency services later.

EllipX aims to comply with the EU’s Markets in Crypto-Assets (MiCA) regulations and to promote transparency through regular third-party audits.

EllipX: Why and why now?

In an interview with Cointelegraph at Korea Blockchain Week, Karpeles explained that security and technology around Bitcoin (BTC) now “allows safe storage of cryptocurrencies.”

“...exchanges, especially exchanges, didn’t change much in all those times [...] I think the best way would be basically to lead by example, to show that connection can be built in a fully transparent way.”

On regaining trust and offering reparations to those affected by the Mt. Gox hack, Karpeles informed Cointelegraph would offer former users “at least 50%” off trading fees on EllipX.

The discount is tied to non-fungible tokens (NFTs) Karpeles released a couple of years ago for Mt. Gox users, though only a few hundred of the million affected users have claimed them so far.

Reparations and community response

Karpeles hopes the fee-cutting reparation gesture will help him reconnect with those who lost assets during the defunct exchange’s collapse in early 2024.

He stated that he had received death threats in the aftermath of the hack but noted that the attitude toward him in the crypto community had softened in recent years.

“I didn’t even expect to be at a Bitcoin conference ever again related to crypto [...] a couple of years later, people actually came to me and told me, hey, why don’t you come do a lecture at our conference.”

Mt. Gox repayments

On July 5, Mt. Gox began repaying some of its agreed-upon rehabilitation creditors via designated crypto exchanges following its rehabilitation plan.

The repayments involved BTC and Bitcoin Cash (BCH), and according to an X post by MtGoxBalanceBot, the Mt. Gox Trustee’s total BTC balance was 94,457 BTC at the time.

Despite expectations of a significant sell-off of the reimbursed assets, Mt. Gox creditors retained their holdings after a decade-long wait to receive their funds.

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