It appears that defunct cryptocurrency exchange Mt. Gox has started refunding its customers who lost 850,000 Bitcoins (BTC) in a hack in 2014. Currently, the hacked bitcoins are worth approximately $36 billion.
On reddit, some participants claimed that they received payments in yen through the Paypal platform. However, other customers, who preferred to receive payment through their bank accounts, stated that no money came in.
One participant wrote: “I just received my initial payment via Paypal!! I was sure it was a phishing attempt on my email, but there was no legitimate money in JPY.”
Another customer shared a screenshot of their PayPal account with the payment made from the exchange. “Photo of my PayPal account with cash payment (I’m an X1 lender… with a lump sum advance and a mix of cash and BTC),” he wrote.
In this article, we will discuss:
Mt. Gox Creditors to Receive Billions in Crypto Assets
After years of waiting, creditors of defunct Bitcoin exchange Mt. Gox are about to receive significant refunds. Mt. Gox, which was once responsible for 70% of BTC transactions between 2010 and 2014 before closing due to a major hacker attack, is finalizing the process of returning funds to its creditors. The payment includes 142,000 Bitcoins (BTC) and 143,000 Bitcoin Cash (BCH), as well as nearly 70 billion yen and considerable amounts in other cryptocurrencies and fiat currencies.
The announcement of this compensation to creditors came via an email from Mt. Gox’s judicial recovery administrator. Lenders, who lost their funds during the hack in 2014, will begin receiving their refunds this year, with payments extending until 2024. The total value of 142,000 BTC equates to about $5.18 billion, while the 143,000 BCH is worth approximately $31.5 million.
What is Mt. Gox in the crypto market
Mt. Gox, a prominent cryptocurrency exchange, was established in July 2010. In a short time, it emerged as the world’s leading Bitcoin trading platform, accounting for more than 70% of all BTC transactions within three years.
In February 2014, Mt. Gox faced a pivotal and devastating event. The company announced that hackers had stolen more than 850,000 BTC, of which 750,000 belonged to its customers. At that time, the value of these stolen Bitcoins was approximately 450 million US dollars. Currently, this amount would equate to a significantly larger sum, reaching several billion dollars.
A month after Mt. Gox ceased operations, around 200,000 BTC were recovered in an old digital wallet. Despite continued efforts, most of the stolen Bitcoins remained unrecoverable. More than 127,000 compensation claims have been filed by those affected by the incident.
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