Repayment Deadline Increased for the MT Gox Exchange’s Creditors

[DaveF]

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And so on. Having dealt with similar bankruptcy issues, I can say it's a mess when you KNOW everyone involved. Never mind the wonderful anonymous world of the internet and BTC

And once the money is sent, it's gone. So at least IMO better to be very slow and correct then even just a little bit faster and a very tiny bit wrong.

some peeps sold their accounts for a fraction of the balance back in the day.. im sure thats fun to sort out legally too.

Some sold for even more as it looked more and more like there was an end in site and people were going to get paid. But 25% now then some larger amount later worked for a lot of people.
And going back to what I said on top of that how many people sold to people who they can no longer get in contact with for whatever reason.

Not quite the same but this class action suit:https://www.dollarsfordiskdrives.com
It went though 2 or 3 rounds of payments because they could not find people who were entitled to the funds and registered to get the funds so what was left was redistributed to the people they could find.
Look how long it ran: https://www.dollarsfordiskdrives.com/dates That's 6 years from when you could make a claim till the 1st payment. US only. AND THEY STILL COULD NOT FIND EVERYONE WHO MADE A CLAIM.

-Dave

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[Faisal2202]

So this means, repayments will start at October 31 of this year and last for exactly one year.

It makes you wonder why Mt Gox liquidators would need to make the repayments in several batches rather than in a single lump sum. The only possible reason I can think of why they'd do this is if they do not have enough money to cover all of the creditors who have filed a claim. In such a case, where do they expect to get the rest of the money from?

Good point, but I think it is a good thing that they did not give all the payments all at once because if they did market would go into a downtrend sentiment due to the high selling but that selling pressure would be reduced due to these batches. As in batches, the selling will be diving over 1 year while if they did lump sum then that pressure of selling will be implemented in 1 day maybe.

Overall, that does raise skeptical questions about them. I am not a victim of this, but just a question, is not there any proof of reserves that shows that they do have the amount I mean, according to the article and news, they did not say or mention that MT GOX has these much BTC and Yuan and other tokens.

[KiaKia]

The only place I've lost money with crypto and be able to get them back fully using a reimbursement strategy was in 2018 from a Bitcoin mining pool call Nicehash, they claimed they got hacked somehow and people lost money, I was shocked when they actually paid all the BTC back.

I already moved on and that could have been my third time of losing expensive assets in the crypto space, if I were one of these MT Gox victims I would have done the same, and moved on until they proved to be different by paying back when no one expected.

All these are lessons people need to be cautious about, stop keeping your assets in the hands of any centralized crypto exchanges, anything can happen to them at any given time, I think it's healthier to also diversify your crypto portfolio, if one face the same fate as MT. Gox the others might cover for your losses.

[arwin100]

Also from that article linked:

Additionally, Kobayashi explained that, for rehabilitation creditors who have provided the necessary information, repayments will be made in sequence as early as the end of this year.

From what I see the 2024 date is the END of the repayments, not the start. I can see them wanting to do it slowly and in batches to make sure it goes well as opposed to shoving it all out the door as fast as possible and dealing with all the issues at once. There are merits to doing it both ways.

-Dave

It makes you wonder why Mt Gox liquidators would need to make the repayments in several batches rather than in a single lump sum. The only possible reason I can think of why they'd do this is if they do not have enough money to cover all of the creditors who have filed a claim. In such a case, where do they expect to get the rest of the money from?

Maybe they are considering the market since if it happens that a single batch massive sell out will happen then it could provably a disaster and can affect the price of bitcoin. For sure massive fud will spread and they use this incident just to create short term scare from people who always believe on the news released by mainstream.

The one I truly wondering is how those creditors could cover up all the expenses of this refund plans since for sure there's a lot of people will claim their part and this is so huge, also the question there if they still have enough money to complete this refund to all affected users.

[stompix]

It makes you wonder why Mt Gox liquidators would need to make the repayments in several batches rather than in a single lump sum. The only possible reason I can think of why they'd do this is if they do not have enough money to cover all of the creditors who have filed a claim. In such a case, where do they expect to get the rest of the money from?

The repayment plan has been settled for ages, they know how much money they have, and they have already sold all the coins necessary for the fiat reimbursement so this leaves only the coins for which they've already set the fraction at which they will be paid back.
The money as agreed is there, it's only the actual payment process that is taking that much time, DaveF covered this nicely.

Funny thing, although the previous liquidation did happen at lower BTC prices, they still managed to get a 4x on the current price for BCH, so for some getting their coins next year might be better than getting them in 2020, if these people wouldn't, of course, depend on that money for a living.

The one I truly wondering is how those creditors could cover up all the expenses of this refund plans since for sure there's a lot of people will claim their part and this is so huge, also the question there if they still have enough money to complete this refund to all affected users.

Everything you want to know is here:
https://www.mtgox.com/d/04y7ivbnz5gw.pdf
And indeed, it's everything!

[legendbtc]

All these are lessons people need to be cautious about, stop keeping your assets in the hands of any centralized crypto exchanges, anything can happen to them at any given time, I think it's healthier to also diversify your crypto portfolio, if one face the same fate as MT. Gox the others might cover for your losses.

We have seen the collapse of Mt.gox, and FTX being the most recent, but I think people will quickly forget everything and will continue to use centralized exchanges without a shadow of a doubt. After the collapse of two major exchanges and a series of hacks with centralized exchanges, I don't see exchange dependence showing any signs of abating in the market.


Furthermore, how to diversify? In my opinion, as long as we use non-custodial wallets and do not leave any assets on centralized exchanges, we will never have to worry about our assets being lost or stolen.