Connect with us

Bitcoin

$158 million Bitcoin & $10 million Bitcoin Cash sold in March 2018 by Mt. Gox trustee

Priya

Published

on

$158 million Bitcoin & $11 million Bitcoin Cash sold in March 2018 by Mt. Gox trustee
Source: Unsplash

On 25th September, Mt. Gox, a cryptocurrency exchange platform, popular for its hack in the cryptocurrency space announced the ‘Measures to Secure Interests of Bankruptcy Creditors’ as a part of the civil rehabilitation proceedings.

Recently, as per the instructions of Tokyo District Court, Mt. Gox commenced the civil rehabilitation filing. Succeeding which, Mt. Gox is required to present the civil rehabilitation plan to the court in the month of February 2019.

The new document released by Mt. Gox has underlined the measures taken by the trustee, Nobuaki Kobayashi with the intention to pay off the creditors. It stated that the Kobayashi sold a portion of Bitcoin [BTC] and Bitcoin Cash [BHC] on 7th March 2018.

The trustee had sold 24,658.00762 BTC and 25,331.00761 BCH in the month of March 2017. This is more than $158 million worth of Bitcoin and $10 million worth of Bitcoin Cash.

This was speculated to be one of the factors for Bitcoin crashing in the market in the month of March. According to CoinMarketCap, Bitcoin was trading at $10000 at the beginning of March and closed at $8000 at the end of the month.

Ever since then, the coin has not breached the $10000 mark and is known as one of the biggest bloodbaths for the year. In addition, some market speculators even believe that the December 2017 crash was also the effect of Mt. Gox sell-off.

Moreover, the report stated that the BTC and BCH were sold post the approval from the Tokyo District Court and the examiner. Succeeding which, Nobuaki Kobayashi’s account had an approximate of 70059 million JPY [more than $6 billion]. In addition, the trustee had an agreement with Sumitomo Mitsui Banking.

The sale which occurred in the month of March 2018 could have occurred because the claims were registered in Japanese Yen because of the Japanese bankruptcy law. As per the law, the creditors would be paid in JPY instead of cryptocurrencies and once the claims are settled, the rest of the cryptocurrencies would be distributed to the shareholders as a part of the liquidation.

However, this year, the creditors filed for a civil rehabilitation under which they would be paid back in cryptocurrencies instead of Japanese Yen. Moreover, according to the rehabilitation plan, all the assets should be distributed to the creditors and not the shareholders including the cash held by the trustee.





Subscribe to AMBCrypto’s Newsletter




Follow us on Telegram | Twitter | Facebook



Priya is a full-time member of the reporting team at AMBCrypto. She is a finance major with one year of writing experience. She has not held any value in Bitcoin or other currencies.

Bitcoin

Bitcoin’s 2017 bull run was fueled by FOMO & hype; present run more fundamentally driven, claims report

Biraajmaan Tamuly

Published

on

Source: Pixabay

Here we go again. Another bull run. Another “hype session” among investors as Bitcoin rises again. The cryptocurrency market is well known for its incredible shift in market sentiment, especially on the back of the world’s largest cryptocurrency surging again.

Bitcoin not only reached its 16-month high today, but it also recorded a growth of 15 percent over the week. This has contributed to several analysts and industry insiders speculating how high Bitcoin will go, with Anthony Pompliano claiming that the digital currency will soon cross its all-time-high valuation of nearly $20,000 and reach a massive $100,000 by 2021.

These predictions have definitely contributed to the coin’s growth as while the present surge is similar to the 2017 rally, it’s not driven by FOMO alone.

Source: SFOX volatility report

A recent comparison drawn out by the SFOX Volatility report compared the preset rally with the bull run of 2017.

The report suggested that the rally of 2017 was largely driven by ‘FOMO.’ When Bitcoin started climbing the valuation ladder, word got out and many investors discovered virtual assets for the first time. The rally of 2017 was mainly fostered through hype and speculation, since there were no major readings or past data to back the rising price.

Source: SFOX volatility report

The present run, while similar, is different in some aspects, one of them being that Bitcoin has a larger user base now than in 2017. While FOMO remains a major factor in driving the price up, the current surge is also backed by developments in the ecosystem, such as the entry of retail investors and huge financial/non-financial institutions joining the crypto-bandwagon.

Facebook’s crypto project, Libra, and Bitmain’s pursuit for a U.S IPO have validated Bitcoin and the rest of the cryptocurrency market, a luxury not available to the market of 2017. The present rally thus, is more mature than the 2017 rally as the present market’s fundamentals are more data-driven.

There remain some stark similarities in the trends however. For instance, in 2017, the push from $9000 to $11000 took place in a period of 7 days. The current push from around $8800 to $11000 came to be in 8 days.





Subscribe to AMBCrypto’s Newsletter


Continue Reading