According to anonymous sources, the two largest creditors of collapsed Japanese crypto exchange Mt. Gox select an early payout in Bitcoin rather than fiat currency.
As per a Bloomberg report, “Mt. Gox Investment Fund has picked an early payout in September this year.”
As a result, 90% of the fund will be handed to the two creditors, the New Zealand-based cryptocurrency exchange Bitcoinica and the Mt. Gox Investment Funds (MGIF), who together account for nearly a fifth of all Mt. Gox claims.
Last October, Mt. Gox Rehabilitation System released repayment methods for creditors. Creditors used this function to choose a repayment method and register payee information on the online claim filing system.
As the creditor elected to get Bitcoin instead of fiat money, the bankruptcy trustee won’t have to sell the tokens on the open market.
Other creditors of Mt. Gox have until March 10 to choose between the September settlement or a lengthier wait period of around 5-9 years in order to receive a bigger percentage of their claims.
By choosing the early payout, the creditors will be able to get their payments sooner and prevent any negative market effects that could come from a massive sell-off of Bitcoin.
Also Read: Wallet Linked to Mt. Gox Hack Moves 7-year-old 10,000 BTC
