Mt. Gox’s largest creditor plans to retain Bitcoin payout which means..
- Bankrupt crypto-exchange Mt. Gox’s largest creditor will not sell the BTC it will receive in September
- BTC holders have been worried about selling pressure emanating from a market dump
Mt. Gox Investment Fund, the largest creditor of Mt. Gox, has revealed that it plans to keep the BTC returned by the Tokyo-based defunct crypto-exchange. The fund became the largest creditor after acquiring the claims against Mt. Gox.
Relief for BTC holders worried about selling pressure
According to a report by Bloomberg, the Mt. Gox Investment Fund does not plan to sell the tokens that it is set to receive later this year in September. People familiar with the investment fund’s plans revealed that the Bitcoin payout will be retained. The investment fund made headlines last month after it chose to go for an early payout in the form of Bitcoin, rather than fiat currency.
The massive Bitcoin payout for the investment fund was well received by holders of the flagship currency. Many of whom were concerned about a market dump by Mt. Gox trustees to pay their largest creditor. However, the positive sentiment dissipated when the crypto-community started speculating about the possibility of Mt. Gox investment fund selling their massive Bitcoin stash after receiving it in September.
The latest news from the investment fund will do well to put any concerns about BTCs flooding the market to rest. The defunct exchange’s bankruptcy trustee held more than 141,000 BTC, in addition to Bitcoin Cash and cash, as of September 2019. At the current conversion rate, the BTC stash would be worth $3.1 billion.
As for Mt Gox’s other creditors, the deadline to register for claims and the repayment has been pushed by a month. Creditors now have until 6 April 2023 to file claims against the bankrupt crypto-platform. The distribution of assets to creditors will commence on 30 October.