The decade-long wait for locked Bitcoin (BTC) on the Mt. Gox exchange is finally over for some creditors as Kraken users have received the first disbursement. According to Reddit discussions, many of the exchange’s customers with claims on Mt. Gox have confirmed they received their funds.
The Mt. Gox Rehabilitation Trustee, Nobuaki Kobayashi, has fulfilled his promise. After weeks of anticipation, Kraken Exchange users now confirm they have received their payments. This development brings relief to those who have waited years for this moment.
Just In: A large number of community users said they have received the Bitcoin returned by MtGox on Kraken. Bitstamp users said they have not received it yet. Earlier, Kraken said it had successfully received creditor funds from the Mt Gox trustee and estimated that it would take…
— Wu Blockchain (@WuBlockchain) July 23, 2024
Efficient Distribution by Kraken Exchange
Kraken has proven efficient with the distribution process with insights from the r/mtgoxinsolvency Subreddit indicating that many users have received alerts about their funds. While Mt. Gox creditors with Bitcoin claims on Kraken celebrate, those linked to Bitstamp must wait a few more days or weeks.
Earlier today, Arkham Intelligence reported a Mt. Gox-labeled wallet transferring approximately 42,587.49 BTC, worth $2.8 billion, to an unknown wallet. It also noted that Bitstamp received 2,238.87 BTC, valued at around $150 million, from the defunct crypto firm at about 6:30 a.m. UTC.
Hence, Bitstamp users might not have to wait long since the exchange is expected to complete the distribution within 7-14 days of receiving the assets.
Bitstamp’s Assurance and Mt. Gox’s Process
Even before this development, Bitstamp assured users it would distribute the Bitcoin as soon as it received them. Currently, Mt. Gox is still in the process of allocating Bitcoin and Bitcoin Cash to preselected cryptocurrency exchanges. For those who have received their assets from Kraken, no offloads have been observed. This suggests that recipients are holding onto their Bitcoin, which aligns with recent Reddit poll results.
Jan3 CEO and prominent Bitcoin bull, Samson Mow, speculated that only about 20% of the Mt. Gox Bitcoin distribution will hit the market. He believes the remaining 80% will be moved to cold storage, with some creditors possibly borrowing against it. According to Mow, the fate of Bitcoin Cash is to be sold in the market.
A Reddit poll showed that 55% of Mt. Gox creditors will not sell their Bitcoin after receiving repayment. Specifically, 260 out of 467 participants stated they would not sell any part of their funds. This indicates a significant number of creditors plan to hold onto their assets, potentially stabilizing the market.
The successful distribution of Bitcoin to Kraken users marks a significant milestone in the Mt. Gox saga. While Bitstamp users continue to wait, the process appears to be moving forward smoothly. This development brings hope to all Mt. Gox creditors who have waited patiently for their funds.
Also Read: Mt. Gox Begins Test Transactions on Bitstamp Ahead of Repayments