Mt Gox CEO Mark Karpeles Sticks to Claiming His Innocence At the End of Trial

If you are an old-timer in the Bitcoin market, you have probably already heard of Mt Gox at least once. The Japanese crypto exchange was the largest company of its kind in the world until it was hacked and it went bankrupt. Mt Gox collapsed early in 2014 after it lost 800,000 BTC, valued at almost half a billion at the time.

Mt Gox’s story is actually one of the saddest and messier cases of Bitcoin history. The exchange was hacked, lost most of its assets and then was unable to pay the investors. After the investigations started, it was found out that its CEO, Mark Karpeles, was also involved in many shady schemes, too, and the situation only got worse. Until today, most of the investors did not get their money back and the CEO is now being judged.

Now, Karpeles has affirmed in court that he is innocent from all charges as the trial is near its end. He is being accused of embezzlement because he took around $3 million USD from the client’s money for his own investments and manipulated data from the company, according to the accusations.

During the trial, he apologized deeply that he was unable to protect the assets of the clients but affirmed that was not guilty from the charges, only of not doing a better job for the exchange not to be hacked.

Karpeles was indicted for embezzlement in 2017 and was arrested. However, he was released on bail soon after with the condition that he would not leave Japan until the trial was over.

The Accusations

The former CEO of Mt Gox is not being accused of anything related to the hacking. He is being accused of stealing money from the company from September to December 2013, shortly before it was hacked. At the time, he took $340 million USD from the clients’ money to invest in a software development business.

Another accusation is the manipulation of data to inflate the trading volume of Mt Gox, which was the top exchange of the market at the time. The defense affirms that all that he did was part of the company’s business.

For these crimes, he is facing up to 10 years in prison. The court is expected to finally finish the case in March 2019.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Gabriel Machado
Brazilian journalist who is interested in the future of the financial world. Has a special interest in the blockchain technology and the global financial markets. Covers economic and technology news with a focus on the fintech industry and has been writing about the cryptocurrency market since the start of 2017.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


Please enter your comment!
Please enter your name here


Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Libra Association’s Policy Director: Multi-Currency Backed Stablecoin Vision Still on Track

Libra has not abandoned its original vision of launching a multi-currency backed stablecoin, according to the organization's Policy Director, Julien Le Goc. Speaking during...

Coinbase Planning for Stock Market Listing that Could Happen as Early as This Year: Report

US-based cryptocurrency exchange Coinbase Inc. has kicked off its plan for a stock market listing that could come as early as this year. The crypto...

Is It Time for Chainlink (LINK) to Retract or Is There Still A Lot to Fuel This Fire

The 12th largest cryptocurrency by market cap has been hitting new all-time highs almost every day this week. The new peak is $6.53, and...

89% of Hodlers Are Worried About Their Crypto, But Only 23% Have A Plan For After Death: Report

An online research report by "after-life" investment experts firm, Cremation Institute, found out nearly 90% of cryptocurrency investors worry about losing their funds...

Real Risk: Circle-Coinbase Consortium Blacklists Ethereum Address Holding $100k Worth of USDC

The CENTRE consortium formed by Circle and Coinbase has blacklisted an Ethereum address holding $100k worth of USDC stablecoin. The transaction on Etherscan shows that...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today