Wizsec Security Criticizes Coinlab’s $16 Billion Claim for Delaying Mt. Gox Legal Proceedings
Bitcoin security specialists Wizsec has published a critique of the claim made by Coinlab for $16 billion. On April 25, Nobuaki Kobayashi, the civil rehabilitation trustee for Mt. Gox, informed about the deadline for the rehabilitation plan. The funds have been delayed for another six months due to “undetermined” claims.
Mt. Gox Proceedings Delayed Once Again
Users affected by the Mt. Gox hack in 2014 are still waiting to receive compensation for the funds they lost back at that time. In a recent court trustee’s letter to creditors, users will have to wait until October 28 in order to have information about their funds.
Kobayashi informs that the court is currently dealing with “undetermined rehabilitation claims” and they are extending the submission deadline. The letter shows that there are a large number of rehabilitation claims that have been fully or partially disapproved and remained undetermined for being subject to claim assessment procedures.
The coordinator of the largest Mt. Gox legal team, Andy Pag, decided to resign from his position and sell his Mt. Gox claim due to the fact that the settlement could take several years.
According to news.bitcoin, the founder of Mt. Gox Legal said that the main reason for the delay in the rehabilitation process was due to Coinlab’s claim. Wizsec published a statement in which it attacks Coinlab and CEO Peter Vessenes due to the large claim they started.
Wizsec explains that Coinlab justifies a claim of $16 billion that is clearly over every claimant’s filing. The security researchers have also acquired a copy of the latest court petitions in order to reach an agreement.
Wizsec comments about it:
“Here’s where Coinlab’s claim starts going off the rails. Coinlab reasons that since the agreement was for a term of 10 years, plus a strangely one-sided post-termination clause giving them continued revenue sharing for an additional 5 years after termination, CoinLab is actually owed a full 15 years of revenue on 25% of global trade volume.”
As Wizsec says, they base their claim on the assumption that Mt. Gox never collapsed. Furthermore, Coinlab adds many other fees and revenue from Mt. Gox that Wizsec says that is impossible and completely groundless.
Mt. Gox was the largest digital currency exchange back in 2013 and 2014. At that time, the platform was hacked and several users lost millions of dollars worth of digital assets.