Mt. Gox refund deadline extended again
Bitcoin,  Regulation

Deadline for plan to reimburse Mt. Gox victims extended… yet again

This is the fifth time that the deadline for a rehabilitation plan has been pushed back by a Japanese court, and there’s little evidence to suggest it will be the last

Victims of the Mt. Gox hack are now going to have to wait even longer to receive compensation.

On Oct. 15, it was announced that the defunct exchange’s trustee has received yet another extension to the submission deadline for a rehabilitation plan.

Tokyo’s District Court has now granted the trustee until Dec. 15 to reveal how an estimated 24,000 affected users will be reimbursed.

Last year, a report from TechCrunch suggested that the trustee has a bankruptcy fund of 150,000 BTC (worth $1.7 billion at the time of writing) to distribute.

Unfortunately, this pales in comparison to the 850,000 BTC that was stolen in 2014. That crypto haul would be worth $9.6 billion at current market rates.

The audacious hack was enough to force Mark Karpelès‘ Mt. Gox, which at the time was the world’s most popular exchange for Bitcoin, out of business for good.

A long time coming

Given the trustee’s past track record, there’s little evidence to suggest that this extension to the rehabilitation plan will be the last.

Previous extensions were granted on June 30 and March 30—as well as in Oct. 2019 and Apr. 2019.

As with previous announcements, trustee Nobuaki Kobayashi said “there are matters that require closer examination with regard to the rehabilitation plan.”

Little detail has been given on the progress that is being made—other than this curt statement that has been repeated several times.

When efforts to refund victims began in 2018, affected users were given the opportunity to receive their partial compensation in crypto—instead of what their BTC would have been worth in fiat at the time of Mt. Gox’s demise.

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C Sephton is a journalist with an interest in cryptocurrencies, personal finance, and financial inclusion—as well as the challenges the crypto industry faces in achieving mainstream adoption. He owns cryptocurrencies.

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