Something big happened over the three-day weekend that had crypto traders and investors a little anxious. Over 140,000 Bitcoin (BTC-USD) was transferred from Mt. Gox wallets today, setting the stage for creditor repayment. You read that right. This move is part of their plan to repay creditors in what they’re calling a “secure manner.”
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
In total, 16 Bitcoin transactions flew out of Mt. Gox wallets, causing a near 2% dip in BTC prices. According to Protos, today alone saw transactions ranging from $1.4 million to a jaw-dropping $2.2 billion sent to the address: 1JbezDVd9VsK9o1Ga9UqLydeuEvhKLAPs6. This address first saw a humble $4 worth of Bitcoin on May 20.
The recipient address has since shuffled almost 4,022 Bitcoin, worth over $273 million, to further wallets. Mt. Gox is gearing up to repay a chunk of cryptocurrency rehabilitation claims, letting creditors choose between selling or directly transferring their crypto.
Setting the Record Straight
After facing a storm of questions about their Bitcoin management, Mt. Gox clarified: “The Rehabilitation Trustee has neither made repayment nor sold Bitcoin and Bitcoin Cash to make repayment.” They emphasized that the trustee is managing Bitcoin and Bitcoin Cash (BCH-USD) securely.
Former Mt. Gox CEO Mark Karpelès jumped in on Twitter, saying, “As far as I know, everything is fine with MtGox. The trustee is moving coins to a different wallet in preparation for the distribution that will likely happen this year. There is no imminent sale of Bitcoins happening.”
The Mt. Gox Saga
Mt. Gox, one of the first crypto exchanges, collapsed spectacularly in February 2014. Around 240,000 creditors were left hanging, and 850,000 Bitcoin vanished.
An account tracking the outflows from Mt. Gox’s known addresses reported that about 0.11645937 BTC, worth $7,925, is still parked in Mt. Gox wallets. This shows they’re prepping for the big distribution to creditors, slowly but surely.
Is Bitcoin a Buy?
According to TipRanks’ Summary of Technical Indicators, Bitcoin is a Buy.
Don’t let crypto give you a run for your money. Track coin prices here.
