Mt. Gox Bitcoin Rehabilitation Plan Approved, Tokyo Court Makes Confirmation
The creditors who voted on the rehabilitation plan for the Mt. Gox were unanimously in favor of the proposal. The victims will soon receive information on how to receive their bitcoin, which occurs as the asset marks a new all-time high.
The reimbursement proposal that the victims of the Mt. Gox hack had voted on has passed, according to a notice published on Oct 20. The Rehabilitation Trustee announced at the Tokyo District Court that 99% of the victims had voted in favor of the rehabilitation plan, which will see them receive reimbursements for their losses. The Tokyo District Court made a confirmation order on the outcome on the same day.
The confirmation order will become final one month from the notice’s announcement, putting an end to what has been a protracted and squalid saga. Following this date, the reimbursements will be distributed to the creditors, with the amount and timing to be announced in the near future.
The rehabilitation draft proposal was initially put forward in February 2021, still many years after the fall of Mt. Gox in 2014. These creditors then voted on the established reimbursement proposal, which could see the release of as much as 150,000 bitcoins.
The Mt. Gox hack saw 850,000 BTC stolen, of which only 200,000 have been recovered. The incident sent bitcoin’s price spiraling downwards and remains one of the most infamous points in the asset’s history.
Mt. Gox saga coming to a close as bitcoin reaches new highs
The victims will be happy to receive some recompense after many years of languishing in uncertainty. They are particularly fortunate that it comes at a time when bitcoin’s price has reached a new all-time of over $66,000.
There have been some concerns that the compensation will subsequently result in a sell-out, that could cause a price shock. These investors could potentially dump their holdings, cash out, and that this could send the price tanking.
However, there is no reason to think that is a certainty, and the entire market will be happy to see one of the most traumatic episodes in the market put to rest. If bitcoin’s price is anything to go by, the omens for the market are only good.
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