Mt. Gox now has another full year to repay billions of dollars in Bitcoin to users of the hacked exchange. Here’s why BTC is now rising.
Mt. Gox, once the world’s largest Bitcoin exchange until it shut down in 2014 following a series of hacks, has started paying back the billions of dollars in BTC owed to customers. But its deadline for finishing that process has now been delayed, and the price of Bitcoin has been climbing since.
Bitcoin is now back above $62,200, rising nearly 3% over the past 24 hours after dipping under $59,000 on Thursday. Traders may be responding to the notion that a delay in Mt. Gox repayments could mean less sell pressure on the markets, as billions of dollars worth of Bitcoin may not be flowing to users who would potentially dump it and cash out.
The Mt. Gox rehabilitation team shared in a notice posted Thursday that the deadline for repayments has been extended for a full year, from October 31 this year to the same date in 2025—with permission from the court, due to various issues that have come up during the process.
Bitcoin is now back above $62,200, rising nearly 3% over the past 24 hours after dipping under $59,000 on Thursday. Traders may be responding to the notion that a delay in Mt. Gox repayments could mean less sell pressure on the markets, as billions of dollars worth of Bitcoin may not be flowing to users who would potentially dump it and cash out.The note to creditors said that “many rehabilitation creditors still have not received their repayments because they have not completed the necessary procedures for receiving repayments.”
