- Mt. Gox transfers $3 billion in BTC, hinting at imminent creditor repayments after a decade of delays.
- Bitcoin’s price drops 1.22% to $66,497 following Mt. Gox’s $3B BTC transfer; trading volume spikes by 46%.
- Mt. Gox plans to repay 140,000 BTC and 143,000 BCH, valued at $9 billion and $73 million respectively, starting July 2024.
Former cryptocurrency exchange Mt. Gox has transferred a substantial amount of Bitcoin (BTC) to an internal wallet, suggesting that the next round of creditor repayments may be imminent. The collapsed exchange, which has been out of business for a decade, appears ready to distribute funds after years of delay.
Large Bitcoin Transfer
Arkham Intelligence, a blockchain analytics platform, reported that Mt. Gox moved approximately $3 billion worth of BTC in two separate transactions. The bulk transfer, involving 42,587 BTC valued at around $2.85 billion, was directed to a wallet identified as ’15yPU…fgi9.’ A subsequent transfer of 5,110 BTC, worth about $340.29 million, was sent to another wallet labeled ‘1JKM…eMVX.’
Bitcoin’s price has also been affected, declining from a high of $68,000 to $67,078.01, representing a 0.34% drop within 24 hours. Despite the price drop, trading activity surged, with Bitcoin’s 24-hour trading volume increasing by over 46% to $43.1 billion.
Mt. Gox Repayment Plan
Mt. Gox, which collapsed in 2014, announced that it would begin repaying its creditors from the first week of July 2024. The exchange plans to return approximately 140,000 BTC, valued at $9 billion, and 143,000 Bitcoin Cash (BCH), worth about $73 million. According to Arkham data, Mt. Gox still holds 90,344 BTC, worth $6.02 billion, earmarked for repayment.
Prior to the large transactions, Mt. Gox conducted a series of test transfers. Yesterday, the exchange moved small amounts of BTC, totaling $11,040, to ensure the system’s readiness for the larger payments. These test transfers were likely a precursor to the substantial movements observed today.
Market Reactions
The market is closely monitoring the situation, with many speculating on the potential impact on Bitcoin’s price. The recent large BTC transfers have already triggered a market reaction, contributing to the cryptocurrency’s price decline. Despite the volatility, market sentiment remains positive.
Future Outlook
As Mt. Gox proceeds with its repayment plan, the market will continue to monitor for further developments. The completion of these payments could influence Bitcoin’s price dynamics and overall market behavior in the coming months.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
