Defunct crypto exchange Mt. Gox has announced a one-year delay in its repayment schedule, pushing the new deadline to return funds to creditors to October 31, 2025.
The decision comes as many creditors have yet to complete the necessary procedures to receive their repayments.
Mt. Gox, which once handled about 70% of all global Bitcoin transactions, collapsed in 2014 following a series of hacks and security breaches that led to a halt in withdrawals. Approximately 127,000 users had their funds locked when the platform went offline.
Nobuaki Kobayashi, the trustee managing Mt. Gox’s assets, highlighted that several issues have slowed down the repayment process. In addition to incomplete procedures by creditors, there were technical issues like double deposits to some users due to a system error. The exchange later requested that users return any overpaid funds to correct these mistakes.
In July, Mt. Gox’s trustee began distributing around $9.4 billion in funds to creditors, although data from Arkham Intelligence indicates that nearly $2.8 billion in assets remain unpaid. So far, more than 41.5% of the funds, equivalent to 59,000 Bitcoin, have been redistributed to creditors.
The slow and staggered release of funds from Mt. Gox has raised concerns about its impact on Bitcoin prices. A report from analytics firm Glassnode in July noted that creditors were holding steady with around $4 billion in funds. The release of these assets to the market has the potential to affect Bitcoin’s price volatility.
As Mt. Gox continues to repay its creditors, the exchange plans to return a total of 141,686 Bitcoin, along with Bitcoin Cash and fiat currency, to users who have been waiting for nearly a decade.
