Mt. Gox Trustee Announces Definitive Date for Bitcoin and BCH Payments

Bitcoin (BTC) has experienced turbulent price performance in recent months, struggling to surpass previous record levels. However, the situation could get worse as the trustee overseeing the defunct Bitcoin exchange Mt. Gox revealed the exact date of the start of Bitcoin and. Bitcoin currency (BCH) payments to affected customers.

This announcement raised concerns about the possible contribution of these clients to the ongoing selling pressure in the BTC market.

Trustee of Mt. Gox Prepares for Rescue

The latest announcement on June 24, the trustee of Mt. Gox and the restructuring creditor revealed that arrangements for the return of Bitcoin and Bitcoin Cash have been ongoing as part of the Restructuring Plan.

Once these arrangements have been completed, the trustee will initiate payments to the cryptocurrency exchange once the required information has been exchanged and verified. It is reported that the repatriation program will begin in July 2024.

The trustee says it has spent enough time ensuring “safe and reliable payments” to lenders, including implementing technical measures for secure, compliant transactions. financial regulations in different areas, and discuss the payment systems and cryptocurrency exchanges that are expected to be involved in this process.

Payments will be made to complete the transaction and to verify the information required by the transaction involved. Debtors have been advised to be patient during the payment period.

Sell ​​or Hold Bitcoin?

It is worth noting that a similar price drop occurred in May when news broke about Mt. Gox to start paying to affected customers. This development caused the price of BTC to drop from $70,600 to below the $68,000 level, preventing the cryptocurrency from revising its all-time high (ATH) of $73,700 in mid-March.

The total amount of Bitcoin to be issued remains uncertain, with estimates ranging from 142,000 BTC to 200,000 BTC. Additionally, Mt. Gox still controls 143,000 BCH and 69 billion Japanese yen, making the situation difficult.

However, Adam Back, CEO of Blockstream, previously revealed doubts about the possible market dumping of BTC by the creditors of Mt. Gox. The back emphasized the long-term strength of Bitcoin and questioned the reason for selling at higher prices when the market is poised for further growth.

The latter also suggested that holding Bitcoin in cold storage would be the wisest choice given the favorable market conditions, and the price of BTC is expected to continue to rise in the coming months despite the current price woes.

Established in 2010, Mt. Gox was once the largest Bitcoin in the world, handling about 70% of all. BTC sales it even fell victim to an alleged security breach in 2014. The exchange lost 850,000 BTC in the hack, causing a significant crash in the crypto space.

Finally, the payment process for the creditors of Mt. Gox introduced a new layer of uncertainty to the Bitcoin market, contributing to recent price volatility.

While concerns persist, industry experts such as Adam Back emphasize BTC’s long-term potential, urging creditors to consider holding onto their Bitcoin rather than selling at current levels.

Currently, the largest cryptocurrency in the market is trading at $61,330, an 11% drop in just 30 days.

Featured image from DALL-E, chart from TradingView.com