The last part of proceedings with Mt. Gox will end with the payment of compensation in Bitcoins to creditors of the exchange. The first transaction will be held until the summer of 2019. This writes Bitcoinist.
As the fall of Mt. Gox impact on Bitcoin
The second of August a team of lawyers representing the interests of creditors of the exchange, published a plan for civil rehabilitation, Mt. Gox. According to the document, the first compensation to the victims must pay no sooner than a year.
At Mt. Gox is not possible to return all bitcoins that have been on Deposit creditors. Accordingly, all the assets of the exchange should be distributed among the creditors, not the shareholders.
The civil rehabilitation plan of the trading platform, approved in June, involves the distribution of all 166 thousand bitcoins among victims of the collapse of the exchange. Creditors have elected to receive their compensation as quickly as possible, so remittances will be made in Bitcoin or Bitcoin Cash.
The creditors believe that the payments in BTC and BCH are “the most simple and effective way of” sharing of compensation by minimization of expenses on the fee. Victims also noted that the mass exchange paid bitcoins for Fiat money may lead to another visible drop in rates of cryptocurrencies. Therefore, instead of the personal wallets of the coins you will send to the exchanges, where lenders can open an account and use the assets for trading.
We will remind, at Mt. Gox is still impressive stock of Fiat after selling BTC. This balance is after payment of cash to creditors should be distributed among the creditors of cryptocurrency without the need to convert to BTC. In other words, some of them will receive their payment in bitcoins and in dollars.
In this case, the money will be sent to the address specified by the creditor of the exchange.
The representatives of the victims added that the conversion of the balance of Fiat in altcoins is possible, but unlikely, as the exchange with good liquidity has a limited number of trading pairs with the violas. Moreover, such an outcome could severely undermine the prices of altcoins, and it will affect the whole stock market.
There is a possibility that selling altcoins Trustee will lead to a sharp fall in the price of a digital asset. Besides can cause problems with security if the Trustee decides to take advantage of the most reliable exchangers.
Lawyers, creditors expect to make other amendments before the final approval of the plan in February 2019. In any case, the first payment will make up the lion’s share of the total assets of the exchange.
We believe that most of the assets (including 166 000 168 000 BTC and BCH) are to be distributed at the time of the first payment.
Accordingly, coins Mt. Gox are unlikely to budge until the summer of 2019. However, the event schedule is still subject to change. The next meeting of creditors regarding revisions in terms of the civil rehabilitation will be held on September 26.
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