Recently, Mt. Gox consolidated $9.8 billion in bitcoin into a single wallet, raising concerns among its creditors. This major consolidation occurred without prior notification from Mt. Gox Trustee Nobuaki Kobayashi, leading to widespread speculation and concern.
Hours after the transaction, Trustee Kobayashi addressed these concerns in a statement. Kobayashi explained that the transfer was to prepare to repay creditors according to the rehabilitation plan.
He assured that no cryptocurrencies had been sold yet and confirmed that all assets were securely managed. According to Kobayashi, the bitcoins and bitcoin cash held will be distributed to creditors either in their original form or converted into fiat currency, depending on each creditor’s preference.
Further, the data from Arkham indicates that following the initial consolidation, about 4000 bitcoins were transferred to several new addresses. The main wallet now holds approximately $9.7 billion in Bitcoin, roughly half of Mt. Gox’s total holdings.
Mark Karpeles, former CEO of Mt. Gox, also commented on the situation, affirming that the Bitcoin movements are part of the planned distribution process. This is the first such activity in five years. This announcement aims to mitigate fears and clarify the ongoing steps towards resolving the long-standing repayment issues.
Also read:Mt. Gox’s $5 Billion Bitcoin Transfer Causes 2% Price Drop
