Mt. GOX Hacked a Blessing in Disguise for Victims?

[serjent05]

It's been a hot topic these days that the collapsed exchange Mt. Gox will begin paying back thousands of users in a few days.  I am in no way saying that getting hacked is good but considering the current situation of the victims who are supposed to receive the refund, they would be gaining more than 10,000x% profit[1].  The fund being hacked, recovered and locked for about 10 years made these victims unable to move their funds, and the recovery and refund resulted in a huge profit.  If the exchange was not hacked, many of these people could have sold their BTC at worth less than $1000 and they should not have gained this huge amount of profit when they received their refund.

Bitcoin was around $600 when the exchange shuttered.  And now the price soar for more than 100x as the refund is about to be executed.  I am happy for these people, all their stress, worries and patience had been fully rewarded.  I hope the refund process will not put too much stress on the Bitcoin market since $9B worth of coins will be unloaded to the market and this is not a small amount.

With this thing happening, I believe the Mt. Gox hack after the authority recovered the fund became a blessing in disguise for victims who exercise patience. Your thought?


Btw, I read that the disbursement is a mixture of Bitcoin and Bitcoin Cash, Does the victim have a claim on the Bitcoin cash equivalent of their Bitcoin when Bitcoin was forked?



[1] https://www.cnbc.com/2024/07/01/mt-gox-about-to-unload-9-billion-of-bitcoin-what-it-means-for-btc.html

[darkangel11]

I'm not sore if you're aware of this, but many people sold their accounts here on bitcointalk for a fraction of the value. When Gox said it's a temporary issue some believers were offering 75 or 50 cents on the dollar for accounts, thinking they'd make a quick buck when it comes back online, but it never did.

Also there's this:

The recovery plan approved by creditors’ vote gave them two options.
The first is an “early exit” option which pays out about 21% of their total assets (some Bitcoin assets are expected to be received as fiat money at a lower historical conversion rate than the current one). The second is of higher risk where, if the plan succeeds, the expected payout is about 23.5% of the original assets (but may also be less than that) paid out over several years.

This means that you will be getting 100x profit, but on roughly 1/4 of the money you held there.

Last but not least, you could sell your claim during the trial if you wanted to and many profit-oriented people did. Remember that we're talking about a process that took 10 years. Some people died never receiving a penny and their families sold their claims after their death.

[_BlackStar]

Yes - this would be called a blessing because they were so close to the cash out process, so what if it was never returned, would it be called a disaster?

The Mtgox drama has been going on for a long time and currently they are preparing everything to distribute it to creditors. Of course creditors are pleased with Mtgox's responsible efforts - however, many of them postponed all their wishes as long as the Mtgox case was not resolved. They should all be grateful because behind this hacking incident there is a lesson to be learned.

Selling pressure may be around for a while - but I don't think everyone will put the coin into the market. Some creditors are experienced users - they will hold and capitalize on the next bull cycle, while others will sell and earn the profit.

[Moreno233]

Also there's this:

The recovery plan approved by creditors’ vote gave them two options.
The first is an “early exit” option which pays out about 21% of their total assets (some Bitcoin assets are expected to be received as fiat money at a lower historical conversion rate than the current one). The second is of higher risk where, if the plan succeeds, the expected payout is about 23.5% of the original assets (but may also be less than that) paid out over several years.

This means that you will be getting 100x profit, but on roughly 1/4 of the money you held there.

Last but not least, you could sell your claim during the trial if you wanted to and many profit-oriented people did. Remember that we're talking about a process that took 10 years. Some people died never receiving a penny and their families sold their claims after their death.

With this, I'm expecting to see so much drama around the refund because it simply means that what will actually happen as the refund will be far less than what was expected. This should be my first time seeing that some persons have already used other options to collect what they can and moved one. This should also be my first time learning that they will be paying about 1/4th of the total assets  and also the spread over many years. This shows the entire thing is not clear yet and until the first refund is actually done, we might not be able to measure the impact on the market.

[EL MOHA]

It could be a blessing in disguise to some people who were actually considering holding for a long term, but for the large chunk of the people I don’t think they appreciated this kind of blessings. Many of these people might have one time in the past be in dire need of their funds to maybe cater for some emergency issues but couldn’t have got it solved, most might have even lost a thing because they couldn’t get access to their funds which no matter the return later is definitely not good enough to me. Also the recovery of Mt.Gotx funds Shouldn’t give users the leverage to start using exchanges and save their funds there, the return was just a luck that might not happen again.

As for the market pressure during the period of distribution, I will vote for a negative sentiment because I believe the news will be circulating round about sells going to happen and this could only create FUD among investors and we all know it leads to bearish sentiments. But this wouldn’t last for a long and the market will bounce back again

[Darker45]

That's the bright side of this fiasco, the silver lining of having their funds locked for many years. And I guess it was also a blessing in disguise that the refunds came a bit late. Had the refunds been paid just a few years after the hack, many would have already liquidated much or even all of their Bitcoin assets. It wasn't uncommon for early Bitcoin holders who acquired their coins very cheap to convert their holdings when the price soared to hundreds or a thousand.

[NotATether]

I'm not sore if you're aware of this, but many people sold their accounts here on bitcointalk for a fraction of the value. When Gox said it's a temporary issue some believers were offering 75 or 50 cents on the dollar for accounts, thinking they'd make a quick buck when it comes back online, but it never did.

Those guys must have gained back the most money if they held their coins from the account sale all this time.

[Jawhead999]

Don't forget with inflation which lower your purchase power.

Although if we calculate the victim will only receive 1/4 of their money and the purchasing power, the victim are still in profit.

But, we don't know what if those victim use the money they invest in Bitcoin to create a business or they try to gamble on shitcoins, they could become a millionaire. Losing the money in CEX means they also lose the opportunity to make money at that time too.

[kryptqnick]

I'm happy that people are getting their money back, and I'm honestly surprised they'll get such a high return on their investment. I knew that now all funds were recovered, so I assumed the profits were going to be mild. However, the CNBC confirms it's 100x, and that's wonderful. I'm sure that many suffered a lot of mental damage because of the hack, and they've been waiting for such a long time.
That being said, it might be bad news for the market because a lot of those people will likely want to cash out immediately, considering what they've been through. Billions of dollars worth of BTC being cashed out can have a significant negative impact on the price. Of course, it can then recover in a few months, but we should get mentally prepared for this.

[davis196]

Bitcoin was around $600 when the exchange shuttered.  And now the price soar for more than 100x as the refund is about to be executed.  I am happy for these people, all their stress, worries and patience had been fully rewarded.  I hope the refund process will not put too much stress on the Bitcoin market since $9B worth of coins will be unloaded to the market and this is not a small amount.

With this thing happening, I believe the Mt. Gox hack after the authority recovered the fund became a blessing in disguise for victims who exercise patience. Your thought?

This would have been "a blessing in disguise" if all the Mt.Gox victims had the patience to wait for 10 years in order to get their BTC back.
What if the Mt.Gox hackers moved all the BTC to their cold wallets and the victims never got a refund? Maybe the victims were lucky, because the hackers weren't competent enough. Anyway, this is like someone stealing the money in your bank account and you get them back after 10 years of waiting. In the case with Bitcoin, you get 100x of what you have initially invested, but I definitely wouldn't call this "a blessing in disguise".

[Learn Bitcoin]

I cannot say anything about it until they get their refund from the authorities. These shitty cases take a long time to proceed and it sucks to wait for that long. Waiting is the worst thing in the world and you will understand that when it's your own money but you have to wait for a long time to get it.

I will be happy for those people if they can claim back their own money. They aren't receiving any kind of bonus but their own money. You may trying to imagine how much profit they have got, but you didn't thought how precious that money was for them in their bad time when they want to get it, but they couldn't.

[ABCbits]

I am in no way saying that getting hacked is good but considering the current situation of the victims who are supposed to receive the refund, they would be gaining more than 10,000x profit[1].

[1] https://www.cnbc.com/2024/07/01/mt-gox-about-to-unload-9-billion-of-bitcoin-what-it-means-for-btc.html

Aside from what other member said, it seems total BTC, BCH and fiat for reimbursement is less than total profit if they manage to HODL until today. I also think it's not blessing in disguise if the victim had any financial difficulty between Mt Gox got hacked and today, where their BTC could be used to help their financial difficulty.

[Yaunfitda]

I am in no way saying that getting hacked is good but considering the current situation of the victims who are supposed to receive the refund, they would be gaining more than 10,000x profit[1].

[1] https://www.cnbc.com/2024/07/01/mt-gox-about-to-unload-9-billion-of-bitcoin-what-it-means-for-btc.html

Aside from what other member said, it seems total BTC, BCH and fiat for reimbursement is less than total profit if they manage to HODL until today. I also think it's not blessing in disguise if the victim had any financial difficulty between Mt Gox got hacked and today, where their BTC could be used to help their financial difficulty.

Yes, and how it can be considered as a blessing in disguise when it's been dragging us for years? Some might have outlived and never got the chance to get their money back and they are going to be paid in a fraction from what they have lost. And those who lost money here has been battling their sanity for the rest of the ordeal as some of them have their life saving on Mt. Gox prior to the hack.

If there is something from the Mt. Gox is that is remains as the skeleton in the closet for some of us here. And maybe they are no longer active here because of what had happen and few only remains to see that finally, they will get something in return.

[avp2306]

Also there's this:

The recovery plan approved by creditors’ vote gave them two options.
The first is an “early exit” option which pays out about 21% of their total assets (some Bitcoin assets are expected to be received as fiat money at a lower historical conversion rate than the current one). The second is of higher risk where, if the plan succeeds, the expected payout is about 23.5% of the original assets (but may also be less than that) paid out over several years.

This means that you will be getting 100x profit, but on roughly 1/4 of the money you held there.

Last but not least, you could sell your claim during the trial if you wanted to and many profit-oriented people did. Remember that we're talking about a process that took 10 years. Some people died never receiving a penny and their families sold their claims after their death.

With this, I'm expecting to see so much drama around the refund because it simply means that what will actually happen as the refund will be far less than what was expected. This should be my first time seeing that some persons have already used other options to collect what they can and moved one. This should also be my first time learning that they will be paying about 1/4th of the total assets  and also the spread over many years. This shows the entire thing is not clear yet and until the first refund is actually done, we might not be able to measure the impact on the market.

To much drama created its because to many people doubt if what Mt.gox saying is true. That's why there's a lot of doubts or anything if they can still get their money back from them. I understand that there are people sell their claims since this is the only option they can get since at least they can get something from their claims then move on. If I am the one who experience that maybe I will also sell my claims then move on since the pressure I can get from those incident maybe not worth it since as we heard from certain news spreading some claimant already died without getting something that's why its better to take action than getting unnecessary stress.

If this hacking incident maybe a blessing as disguise for existing victims which have strong belief that they can get something then I guess they deserve that since imagine their experience for sure they suffer for devastating loss and that gives so much stress for them. Hopefully this refund would really happen since to many people really want to get their money back from Mt.gox.

[Die_empty]

With this thing happening, I believe the Mt. Gox hack after the authority recovered the fund became a blessing in disguise for victims who exercise patience. Your thought?

I appreciate the fact that the hacked funds were recovered and after a decade it is been returned to the owners. Many people lost money in exchanges and have not recovered it to date. The price of Bitcoin has appreciated which is also a plus to these victims. But we shouldn't fail to acknowledge the fact that some of these victims might not be alive to enjoy these refunds because they are dead. Others suffered from health problems because of the shock and frustration of not accessing their investment. Some people invested with their retirement benefits while others might have used borrowed money to invest.

The pain and frustration they went through over the years cannot be equated to financial benefit.  Mt. Gox hack might be a blessing to some victims but to others, it is a curse because it brought sickness, frustration, fear, debt, and even death.

[BABY SHOES]

Some creditors will definitely sell the bitcoins they get Mtgox this will obviously have an impact on the market if Mtgox will release $9 billion in hacked funds first returned, it's just not that this is distributed gradually meaning not all at once?

Imagine those who have waited 10 years from the bitcoin price of $600 at the current price, in my opinion it is a blessing in disguise but we see how creditors are tired of waiting longer, then what if Mtgox delays again which is not clear?

I hope all Mtgox creditors get their rights.

[BALIK]

With this thing happening, I believe the Mt. Gox hack after the authority recovered the fund became a blessing in disguise for victims who exercise patience. Your thought?

I wouldn't consider this a blessing in disguise, it's more like torture. Because over the past 10 years, the victims have had to endure so many hardships and humiliations, some even lost their lives because of this, how can it be called a blessing?
I don't deny that Mt.gox has returned BTC and many people are making profits based on the current bitcoin price and maybe it is the profit that many people dream of. But is that worth it and enough to compensate those who have waited for the past 10 years? And in those 10 years, just because of the collapse of Mt.gox, many people lost their homes, many people lost their families, lost their futures and even lost their lives. Is the compensation now worth it and considered a blessing? If someone thinks this is a blessing, it means they agree and support the idea that exchanges should continue to collapse as Mt.gox did.

Not to mention I'm wondering, how many victims of that year's incident are still following the incident and know about this news, and how many people have received the bitcoins refunded by Mt.gox. Personally, I don't believe in the numbers they give in the near future.

[stompix]

It's been a hot topic these days that the collapsed exchange Mt. Gox will begin paying back thousands of users in a few days.  I am in no way saying that getting hacked is good but considering the current situation of the victims who are supposed to receive the refund, they would be gaining more than 10,000x profit[1].  

It's 10,000% not 10,000x!
So if you had 100 you get 10 000, not 1 000 000!

Also, that's the price of BTC, since they will not be getting all their coins back, estimations are at 21%, so in fiat terms, it will be more like 2,000%,
so 20x, if you were to throw in a 33% inflation, that's final gains of 1500% or 15x.

[Maus0728]

In hindsight that's the case, that the hack is a blessing in disguise for the people that have their bitcoin in Mt. Gox at that time but in the context of what happened, I don't think that it's any kind of blessing at all because it's still a stolen bitcoin/property and there's people that were hurt by that action so I'm not really thrilled in the possibility that it's a blessing if we factor in all of the stuff that's happened plus some people might not even get the just restitution with all the pain and misery that they've endured all throughout the process but hopefully though they do get what they deserve and that they enjoy getting it because it's not going to be anything but blessing to them despite what I think of this situation.

[yazher]

What a twist! this is surely major news in the crypto industry and we will see a major change in the price because obviously they have been patient enough to hold up to this long and might already have a list of what to buy when they receive it.

Nevertheless, it could be bad for the market because the price will drop but honestly, a chance for the other investors as well because after it, they can buy bitcoins at a lower price once again, and a blessing in disguise too for the long-term investors.

Let's just follow the news about it because this is one of the major events in the crypto industry right now and witnessing such a scenario is an honor we are also happy for the victims to get back what they have lost with multiple folds.