According to Arkham Intelligence, on Wednesday Mt Gox sent 37,477 Bitcoin (worth $2.47 billion) from a cold wallet to an unknown address.
In addition, the now-defunct cryptocurrency exchange internally transferred 5106 BTC (worth $226 million) from one cold wallet to another within Mt.Gox. The transfers are likely related to a plan to repay creditors.
This is because cryptocurrency exchange Kraken decided on Tuesday to distribute assets to Mt.Gox creditors, potentially putting selling pressure on the market. On Tuesday, Mt.Gox sent 42,587 bitcoins, estimated at $2.85 billion.
Mt.Gox creditors receive funds via Kraken
Last week was a major event for creditors, with Kraken announcing that it had received $3 billion worth of funds from the Mt.Gox trustee. The exchange planned to begin distributing the funds within 7-14 days.
In a Wednesday post on X, Kraken co-founder Jesse Powell described the day as “glorious” for Mt.Gox creditors as they began receiving funds. “What a long way to go. I’m happy to be closing the door on this chapter of cryptocurrencies,” he said.
Mt.Gox’s long-awaited $9 billion cryptocurrency payout raises fears of Bitcoin sell-off
After years of legal disputes and delays, Mt.Gox creditors will finally get their hands on nearly $9 billion worth of Bitcoins and Bitcoin Cash.
The payout comes after Mt.Gox moved a huge amount of cryptocurrencies out of storage for the first time in five years in May. It also raised concerns among investors that a sell-off of shares by creditors could weaken the market. The start of the trustee payment process has significantly affected the cryptocurrency market.
Bitcoin last traded about 0.3% lower that day at $65,711, but has risen 4% over the past month.
