Mt. Gox Tests BTC Payments: Are Things Finally Moving?

The exchangeโ€™s recent movement of BTC raises hope for awaiting creditors.

Hand holding a tablet, with a man with a sign MT. Gox and bitcoins flying around.
Created by Kornelija Poderskytฤ— from DailyCoin
  • Bitcoin wallets associated with Mt.Gox are still being shuffled.
  • The exchange has made several payouts over the past week.
  • Some Mt.Gox creditors are still awaiting settlement.

Following a long wait, the defunct crypto exchange Mt. Gox and its creditors are finally nearing the end of a decade-long ordeal that began with the exchange’s bankruptcy following a hack in 2014. Last week, a portion of Mt. Gox creditors celebrated receiving their long-awaited Bitcoin payouts, facilitated by crypto exchanges Kraken and Bitstamp.

As other exchange creditors wait, recent developments hint at more settlements on the horizon.

Mt.Gox Moves BTC

The ongoing Mt. Gox payout process has followed a distinct pattern, often commencing with test Bitcoin transfers to recipient addresses, followed by large BTC transfers, and then the distribution of funds to creditors.

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Around 23:30 UTC on Monday, July 29, 2024, the wallet associated with the exchange made seemingly test transfers of 0.02 BTC and 0.0001 BTC to two different addresses, worth $1,350 and $6.7, respectively.

The transfer comes days after Mt. Gox moved Bitcoins worth approximately $2.8 billion on July 24 to various wallet addresses, including a 5106 BTC payment to one belonging to crypto exchange Bitstamp. The transaction preceded Bitstampโ€™s distribution of funds to creditors the day after, raising hopes that the latest test transfers may signal imminent payouts for creditors still awaiting their funds.

Mt.Gox Creditors Await BitGo’s Payments

While crypto exchanges Kraken and Bitstamp have confirmed the complete distribution of funds in the ongoing settlement to Mt. Gox creditors, many are still awaiting their payouts from BitGo, another exchange designated to facilitate payouts.

Several members of the Reddit group โ€˜mtgoxinsolvencyโ€™ have raised questions about the expected timeline of payments from BitGo, especially following celebratory posts by creditors who received their funds from the other exchanges.

However, it is important to note that the ongoing process appears to be occurring in succession, which may contribute to the ongoing delay.

At press time, the Mt.Gox BTC wallet had a total balance of 80,128 BTC, which is worth approximately $5.3 billion at current rates.

On the Flipside

  • Kraken confirmed the completion of its distribution to Mt.Gox creditors on July 24, 2024. However, some Mt.Gox creditors have reported not receiving payments.
  • The ongoing Mt.Gox payments have not had any major impact on BTC, trading at $66,589 at press time.
  • UK-based Mt.Gox creditors are still awaiting settlement from Bitstamp.

Why This Matters

Test BTC transfers by Mt. Gox are usually precursors to larger fund movements aimed at settling creditors. The latest transfers likely signal the next phase of the ongoing payouts, raising hopes that creditors still awaiting their funds may soon receive them.

Discover more about the past asset movements by Mt. Gox in this article:
Mt. Gox Moves $3.2B BTC as It Gears Up for Creditor Payout

Read this article for a legal expertโ€™s comments on the ongoing Ripple SEC battle:
Lawyer Debunks Ripple SEC Case Myths as Tensions Heat Up

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Grace Abidemi

Grace is a crypto reporter for DailyCoin, covering a diverse range of market updates. Grace has minor holdings in Bitcoin & Solana, and moderate holdings in Rune & XRP.

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