Mt Gox repayments start this month

Mt Gox is the crypto exchange that went bust in 2014 after it got hacked. It's crash triggered a deep crypto winter that lasted three years, partly because it had 70% of the market before it went bust, and partly because the hackers were causing sell pressure by steadily selling coins on BTC-e, a shady Russian exchange that wound up in 2017 when US law enforcement seized it's servers and coins.

Anyway the bankruptcy courts in Japan are about to distribute the residual coins to the former customers of MtGox.

The residual is 69 billion Yen plus 142,000 bitcoins. In 2014 after the crash, the bitcoin price was about $200, so the residual bitcoins were only worth $28 million - not enough to cover all customers (which is why Mt Gox had to declare bankruptcy).

Now of course they're worth about $3.3 billion. So even if customers won't get all their coins back, in dollar terms they're getting way more. This is the silver lining of a bankruptcy taking nearly a decade to pay out. Customers who would have sold their coins long ago if MtGox hadn't been hacked, will get a windfall.

Payments will be made in a mix of crypto and yen. The first 200,000 yen worth of each customer’s claim will be paid in yen. If their claim is greater than this amount and they chose crypto and yen, they will receive a mix of around 71% crypto and 29% yen after the initial payment.

The payments will be made through Bitgo and Kraken, and the first tranche will go out on 10th March. All the payments will be complete by September.