The price of bitcoin surpassed $25k on Monday, although, the same day, BTC’s price continued to decline and reached a low of $24,000. At the same time, there are interesting developments in the market.
A 2014 suspected attack at the Japanese cryptocurrency exchange Mt. Gox resulted in the loss of about 850,000 Bitcoins. According to reports, some of the stolen property will start to be given to the creditors. However, this incident has brought up serious questions about the stability of Bitcoin’s pricing.
According to sources, the Mt. Gox trustee in charge of the matter declared that they were getting ready to reimburse some Bitcoin. To carry out the “repair plans” agreed in 2021, this will be done. The dealers think that this may increase the market’s selling price.
Even an “early lump sum repayment” has been proposed to the creditors by the firm’s trustee in an attempt to satisfy the debts. The creditors now can either accept or deny this offer. Experts caution that some creditors may reject this offer, hoping that further monies may be recovered in the future.
What is the process?
Creditors will have to choose the early payback option in order to fuel the FUD surrounding the Bitcoin price. This will result in the payment of BTC. The open market’s order books may be impacted by this.
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The creditors will have two choices for making up the losses in the interim. The first step is receiving payment in the local currency. This will be a mixture of either Yen, BCH, or Bitcoin. Allowing the trustee to convert the digital assets into cash will be the second alternative. All creditors must, however, choose the early redemption option in order for the sell option to be supported. Mt. Gox hasn’t been able to get back all 850K Bitcoins, though. About 140K of the stolen BTCs were found.
140 000 Bitcoins, according to the data, represent barely 8% of the total daily trading volume. According to statistics, this is insignificant compared to the market. This action has a very small chance of affecting Bitcoin values.