Mt. Gox Trustee Delays Repayment Deadline to 2025 Amid Ongoing Creditor Complications

The trustee overseeing the assets of defunct crypto exchange Mt. Gox has extended the deadline for creditor repayments by one year, pushing it to October 31, 2025, according to an official statement released on Thursday. This marks the latest delay in a long-running saga involving the distribution of nearly $9 billion in recovered assets to creditors.

Mt. Gox, once the world’s largest cryptocurrency exchange, collapsed in 2014 following a massive hack. The repayment process began in July 2023, but Arkham Intelligence data shows that crypto wallets associated with the exchange still hold 44,900 Bitcoin (BTC), valued at approximately $2.8 billion.

According to the trustee, the delay is partly due to many creditors not completing the necessary steps to receive their funds. “Many rehabilitation creditors still have not received their repayments because they have not completed the necessary procedures,” the statement said, further noting that various issues during the repayment process have contributed to the holdup.

Earlier in 2024, news of the upcoming Mt. Gox distribution had caused jitters in the cryptocurrency market, with concerns that a mass sell-off by creditors could put downward pressure on Bitcoin prices. The delay in repayments could ease these fears in the near term, though analysts remain cautious about future market impacts.

“This could assuage near-term concerns around supply overhangs, though there could be room for downside volatility once those on-chain funds begin moving again,” Coinbase analysts David Duong and David Han noted in a report on Friday.

source