Creditors of the now-defunct Mt. Gox cryptocurrency exchange will have additional time to decide how they would like to receive their repayments and to provide the necessary payee information.
New March 10 Deadline
Nobuaki Kobayashi, trustee of Mt. Gox, announced that the deadline for cryptocurrency exchange creditors to choose their preferred method of repayment and register their payee information has been extended to March 10. The previous deadline had been set for January 10 according to a Cointelegraph report back in October. This change was made due to rehabilitation creditors’ progress in the selection and registration process.
Creditors were also encouraged in the announcement to finish the required steps before the new deadline. It was noted that those who do not complete the selection and registration by the new deadline will not receive their repayments, and may need to go to the exchange’s head office with additional documentation in order to receive their repayments in Japanese Yen.
Trustee Targets Expedited Settlements
The announcement stated that the rehabilitation trustee will begin verifying the details of creditors’ selections and registrations after March 10, 2023, in order to expedite the repayment process.
Those who have already completed the selection and registration process do not need to repeat it, according to the update. It was also requested that those who had already completed the process refrain from making any changes to their registration in order to make the confirmation process run smoothly.
In addition to extending the deadline for selection and registration, the trustee also obtained court permission to change the deadlines for base repayment, early lump-sum repayment, and intermediate repayment. The new deadlines are September 30, 2023, which is a change from the previous deadline of July 31, 2023.
On August 29, rumors spread on social media that Mt. Gox was selling a large amount of Bitcoin. However, creditors of the now-defunct exchange refuted these rumors, claiming that they were still unable to register in order to receive funds owed to them by Mt. Gox.
Celsius, another defunct crypto company, also postponed its debt repayment period last month. Investors did not receive the Celsius postponement well at all. Simon Dixon, the founder of global investment platform BnkToTheFuture and an active participant in the Celsius bankruptcy proceedings, stated in a tweet on December 23 that users can expect to receive approximately half of their original investment when they are eventually able to obtain their funds back from Celsius.
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