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Kraken Confirms Receipt of Mt. Gox Bitcoin, Creditors to Receive Next Week
Cryptocurrency exchange Kraken said it had received funds from Mt. Gox creditors, according to an email statement seen by CryptoSlate.
According to the email:
“We have successfully received creditor funds (BTC and BCH) from the Mt. Gox Trustee. While we will work to distribute the funds as quickly as possible, please allow 7-14 days for the funds to be credited to your account. The amount you will receive has been determined by the Trustee and we will distribute it based on their instructions.”
Earlier today, Mount Gox transferred approximately 92,000 BTC, worth $5.8 billion, to four anonymous addresses, according to blockchain analytics platform Arkham Intelligence.
The company reported that the defunct exchange transferred 48,641 BTC, worth $3.07 billion, to the 3JQie address. These funds were initially sent to Mt. Gox 1Jbez before being transferred entirely to 3JQie.
The failed exchange also moved 42,587 BTC, worth $2.7 billion, to 18vjnB, 527 BTC, worth an estimated $33.63 million, to 1HRAp, and 0.02 BTC, worth $1,300, to 1JJ8oBa.
Market observers, including blockchain analyst Lookonchain, suggest that these transactions are preparatory to the company’s refund efforts.
The exchange on July 5th announced had begun repaying creditors through designated cryptocurrency exchanges, according to its rehabilitation plan. Notably, reports indicated that the timing of payments could vary by exchange.
Meanwhile, according to Arkham’s platform, the Mt. Gox wallet still contains approximately 139,000 coins worth more than $8.7 billion, despite these transfers.
Market Reacts to Bitcoin’s Movement
Bitcoin’s recent Mt. Gox moves have increased selling pressure on the leading digital asset. According to CryptoSlate data, BTC’s price has dropped from around $65,000 today to $63,500 at press time.
This sudden drop in prices has led to the liquidation of approximately $13 million by traders who speculated on the market’s price movement over the past four hours, according to Coinglass data.
Despite this, many analysts remain optimistic. They note that the market has absorbed the recent measures of the German government Bitcoin Sales without major problems. In the past month, the German government sold about 50,000 Bitcoin through several transactions that have spooked the broader market.
Toby Cunningham, co-host of the popular cryptocurrency show Crypto Tips, declared:
“First it was Germany selling Bitcoin and now it’s MT Gox. Dollar cost averaging and HODL because there will always be someone or something selling.”