Key Points
- Mt. Gox, a defunct cryptocurrency exchange, has transferred 37,477 Bitcoin, worth $2.5 billion, to an unidentified wallet.
- Over 40% of the Bitcoin owed to Mt. Gox creditors, approximately $3.6 billion, has been distributed.
The now-inoperable cryptocurrency exchange, Mt. Gox, has moved 37,477 Bitcoin, valued at $2.5 billion, to an unknown wallet.
This significant transaction was flagged by blockchain analytics platform, Arkham Intelligence, which reported that the transfer occurred at 4:53 am UTC on July 24.
Transfer Details
From the total 37,477 BTC, 5,106 BTC were later sent to a separate cold wallet owned by Mt. Gox.
This transaction occurred shortly after the exchange moved $2.8 billion in Bitcoin to various wallets on July 22.
Out of this, $340 million was transferred to four wallets linked to the crypto exchange Bitstamp, one of the five exchanges collaborating with the Mt. Gox trustee to return funds to creditors.
Data from CryptoQuant reveals that over 40% of the Bitcoin owed to Mt. Gox creditors, approximately $3.6 billion, has been disbursed.
However, $5.6 billion is still awaiting distribution.
The total amount due to about 127,000 creditors is nearly $9 billion, resulting from the exchange’s failure in 2014 after a significant security breach.
Market Reactions and Future Predictions
Despite the worries, some analysts believe the market has already factored in the potential impact of Mt. Gox’s repayments.
In related news, creditors have started receiving their Bitcoin through Kraken, another exchange involved in the repayment process.
Kraken has advised creditors to use Over-The-Counter (OTC) trading to handle their transactions, potentially reducing market volatility.
Bitcoin’s price has recently fallen below $66,000, influenced by the Mt. Gox transactions, BTC sale by the German government, and anticipation of an Ether ETF launch.
However, some traders see this period as a buying opportunity.
CryptoQuant contributor Axel Adler noted a significant decrease in Bitcoin deposit addresses, indicating a reduced willingness to sell, which could support the price if demand rises.
While the market closely watches the repayments from Mt. Gox, the general sentiment among analysts and traders remains cautiously optimistic.
Many believe that the market has already adjusted to the expected impact of these transactions, and the broader outlook for Bitcoin remains positive.
