Mt. Gox Denies $10B Bitcoin & Bitcoin Cash Selloff For Repayment

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As a researcher with extensive experience in the crypto industry and having closely followed the developments at Mt. Gox since its collapse, I find the recent denial of Bitcoin and Bitcoin Cash selloff worth approximately $10 billion by the exchange both intriguing and significant. The reports of massive transfers of these cryptocurrencies from wallets linked to Mt. Gox have understandably sparked concerns and speculation within the crypto community.

In a notable development that has sparked much debate among crypto enthusiasts, Mt. Gox has firmly rejected allegations of selling off around $10 billion worth of Bitcoin (BTC) and Bitcoin Cash (BCH). The denial stems from rumors swirling around large-scale transactions originating from wallets associated with the notorious exchange.

Mt. Gox Dismisses Claims Of Bitcoin Selloff

As a researcher studying the history of Bitcoin exchanges, I’d rephrase the given text as follows:

According to the communique, the Rehabilitation Trustee is set to compensate rehabilitation claimants under the Rehabilitation Plan with respect to the cryptocurrency shares of their claims. The letter elaborated that there are two methods for these creditors to receive repayment.

(i) repaying through Designated Cryptocurrency Exchanges, which will receive bitcoin and bitcoin cash on behalf of the rehabilitation creditors, or (ii) repaying with the funds obtained from selling bitcoin and bitcoin cash.

As a researcher, I’ve come across instances where the Rehabilitation Trustee acknowledged an increased sense of apprehension regarding the handling of certain assets. The document further disclosed that lately, there have been inquiries or deep concerns raised to the trustee about managing Bitcoin and Bitcoin Cash specifically.

To quell rumors, the exchange clarified that at present, the Rehabilitation Trustee has not utilized Designated Cryptocurrency Exchanges or similar platforms to repay debts with bitcoin or bitcoin cash. Additionally, no sales of these cryptocurrencies have been made for the purpose of making such repayments. The Rehabilitation Trustee is currently safeguarding both bitcoin and bitcoin cash.

Reports Of BTC & BCH Sale Worth Over $10 Billion

Mt. Gox issued denials following reports by Arkham Intelligence and Wu Blockchain about significant Bitcoin and Bitcoin Cash transactions from 72 of its connected wallets. According to Arkham Intelligence’s findings, within the past 7 hours, these wallets collectively transferred 141,686 BTC in batches of approximately 2,000 BTC each to a newly created wallet identified as 1Jbez.

Additionally, the wallet in question, which processed its initial small Bitcoin transaction on May 20, 2024, now contains approximately half of the identified Mt. Gox BTC, estimated to be worth around $9.36 billion. Arkham Intelligence reported that 1Jbez has begun transferring BTC, moving 4,000 BTC ($271.8 million) to a new wallet (152w), as well as smaller amounts to wallets 1LsC and 18YB.

These transactions raised further apprehensions among crypto enthusiasts, as they fueled anxieties of a possible market crash. Notably, Wu Blockchain disclosed that Mt. Gox-linked wallets transferred a sum of 142,846.22 BCH ($67.9 million) to an unidentified address. As a result, the mysterious address currently ranks as the 11th largest Bitcoin Cash (BCH) hoarder.

As the reports circulate regarding Mt. Gox’s rehabilitation process, I, as an analyst, want to assure you that the Trustee’s letters aim to calm any potential panic and speculation. The letter emphasizes that plans for repayments are underway and urges stakeholders to exercise patience. It clearly states, “I, as the Rehabilitation Trustee, am currently working on the preparations for these repayments. Please be patient and wait for the repayments to be processed.”

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2024-05-28 15:12