Trustee of Battered and Bruised Mt Gox Exchange Extends Rehabilitation Deadline Submission
The story of Mt Gox continues. Now, the current trustee of the defunct Japanese crypto exchange has decided to extend the deadlines for the submission of rehabilitation plans for the company, as the official document announced.
Nobuaki Kobayashi, the trustee, has filed a motion in order to increase the deadline, which was conceded by the Japanese courts. Now, the new deadline will be October 28, 2019.
The announcement affirms that many rehabilitation claims were completely or at least partially disapproved so far and this creates a problem because it undermines the subjects’ claims. Therefore, they want to give people more time to make their claims before they pay out in order to have a fair process to everybody and do not let anyone behind.
The Mt Gox Case
Once upon a time, Bitcoin was still something new and Mt Gox, a Japanese Bitcoin exchange, was the largest of its kind in the whole world. Then, it was hacked and it lost most of its funds, becoming insolvent and unable to pay its clients soon.
The hack led the exchange to collapse in 2014 and it resulted in the investors losing around 850,000 BTC. At the time, the money was worth around $460 million USD. Over 24,000 creditors were affected by the collapse of the exchange and these are the people which are in court to receive their money today.
All that is left in the process now is to actually pay all the rehabilitation claims to the investors which were harmed before. So far, the method of payment and a timeframe are still undetermined, but it looks like the case is finally progressing.
Because of this, we may end seeing soon the end of the one longer horror stories in the crypto industries, the story of the largest exchange in the world which turned out to be a huge loss for investors after it lost its Bitcoin due to failed security measures.