Kraken confirms receipt of Mt. Gox Bitcoin, creditors to receive as early as next week

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Crypto exchange Kraken said it received Mt. Gox creditors’ funds, 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 funds as quickly as possible, please anticipate 7-14 days for funds to be credited to your account. The amount you will receive has been determined by the Trustee, and we will distribute according to their instructions.”

Earlier today, Mt. Gox transferred approximately 92,000 BTC, valued at $5.8 billion, to four unnamed addresses, according to the blockchain analytical platform Arkham Intelligence.

The firm reported that the defunct exchange moved 48,641 BTC, valued at $3.07 billion, to the address 3JQie. Initially, these funds were sent to Mt. Gox 1Jbez before being transferred entirely to 3JQie.

The failed exchange also moved 42,587 BTC, valued at $2.7 billion, to 18vjnB, 527 BTC, estimated to be worth $33.63 million, to 1HRAp, and 0.02 BTC, equivalent to $1,300, to 1JJ8oBa.

Market observers, including blockchain analyst Lookonchain, suggest these transactions are in preparation for the firm’s repayment efforts.

On July 5, the exchange announced it had begun repaying creditors through designated crypto exchanges according to its rehabilitation plan. Notably, reports indicated that the timeline for payouts may vary across exchanges.

Meanwhile, the Mt. Gox wallet still holds nearly 139,000 coins worth over $8.7 billion despite these transfers, according to Arkham’s platform.

Market reacts to Bitcoin movement

Mt. Gox’s recent Bitcoin movements have increased selling pressure on the leading digital asset. According to CryptoSlate’s data, BTC’s price dropped from about $65,000 earlier today to $63,500 at press time.

This sudden price drop resulted in the liquidation of approximately $13 million from traders speculating on the market’s price movement within the last four hours, according to Coinglass data.

Despite this, many analysts remain optimistic. They note that the market absorbed the German government’s recent Bitcoin sales without major issues. Over the past month, the German government sold around 50,000 Bitcoin through several transactions that spooked the broader market.

Toby Cunningham, the co-host of the popular crypto show Crypto Tips, stated:

First, it was Germany selling Bitcoin and now it’s MT Gox. Dollar cost average and HODL because there will always be someone or something selling.”

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