Cryptocurrency Repayment Schedule for Mt Gox Creditors

According to a report from The Block, the timeframe for creditors to receive repayments in bitcoin or bitcoin cash is not uniform and is dependent on the custodians involved. The waiting period for individuals seeking reimbursements through Kraken accounts, for instance, could extend up to 90 days.

Based on a recent trustee document, Mt Gox creditors might encounter delays of up to three months before their bitcoin or bitcoin cash repayments are processed, contingent on the particular crypto exchanges where the claims were lodged. The trustee of the now-defunct crypto exchange has indicated the commencement of repayments to select crypto exchanges in adherence to the rehabilitation plan.

In the trustee's latest communication, it was revealed that the timeline for the visibility of payouts in creditors' accounts will fluctuate based on the designated exchanges. For example, Kraken has a 90-day processing timeframe, while Bitstamp and BitGo may require up to 60 and 20 days, respectively. On the other hand, SBI VC Trade and Bitbank are expected to finalize payouts within 14 days.

The trustee emphasized that each Designated Cryptocurrency Exchange must augment the BTC/BCH balance of a rehabilitation creditor's account or transfer the cryptocurrencies to a linked wallet within a specified number of days post-transfer from the Rehabilitation Trustee, as outlined in the document.

Today's announcement from the trustee affirmed that eligible creditors will promptly receive repayments if they satisfy specific conditions. These conditions include verifying the validity of registered accounts, confirming the intention to subscribe to an agreement with designated crypto exchanges, and concluding discussions with the trustee.

Earlier today, Mt Gox executed the transfer of 47,228.7 BTC (equivalent to approximately $2.71 billion) to a wallet before dispersing the assets through multiple transactions. Notably, 1,545 BTC (approximately $85 million) was sent to a hot wallet on the Bitbank crypto exchange, according to Arkham's data.

Bitcoin's value experienced a dip below $54,000 during the day, with the largest cryptocurrency currently trading at $54,270 after a 6.48% decline over the last 24 hours. The wider crypto market also witnessed over $665 million in daily liquidations across centralized exchanges.