Mt. Gox Starts Making Repayments in Bitcoin and Bitcoin Cash to Creditors
Defunct crypto exchange Mt. Gox has completed the preparations for their repayments and the firm has now started the process officially. In accordance with the re-compensation plan that was finalized in 2021, the firm has started to release repayments in the form of Bitcoin and Bitcoin Cash.
The former consumers of the trading platform who are the recipients of these repayments have issued the first installments to creditors in accordance with the scheduled plan.
Repayment Program
The repayment program was designed and approved in November 2021. This plan was also agreed upon by Mt. Gox creditors. Nobuaki Kobayashi, the trustee of Mt. Gox funds made an announcement that the recipients of the repayment are set to receive compensation after multiple delays since the exchange went under in 2014.
The payables owed to Mt. Gox creditors are estimated to be around $9 billion. This amount is inclusive of Bitcoin, Bitcoin Cash, and additional currencies that are managed by trustee.
Another article quotes from CryptoQuant CEO referring to the impact on Bitcoin prices following Mt. Gox repayments. Ju recently mentioned in a social media post that while Bitcoin price can undergo minor shifts after the Mt. Gox Bitcoin sales, but it is more susceptible to speculative FUDs.
He claimed that Mt. Gox Bitcoin sales up to $3 billion can be viewed as manageable liquidity. At the same time, Ju suggested that the upcoming price changes in Bitcoin are a window for smart investors to place their bets on the flagship crypto.
Bitcoin to Experience Speculative FUDs
Referring to the price changes taking place in Bitcoin, CryptoQuant CEO Ju mentioned in a 10h July post that permanent Bitcoin investors have indicated no signs of outflows. This category of wallets also opted to purchase a total of 85 thousand Bitcoin in the last month.
The executive further noted that at different levels investors panic sold their Bitcoin reserves. However, smart money has proceeded with increasing its Bitcoin accumulation.
Arkham Intelligence reports that Mt. Gox trust has a total of 139,985 Bitcoin in custody valued at $8.93 billion. As of 5th July, creditors reported that the defunct trading platform had transferred 140 thousand Bitcoins.
The reporters cited remarks from miscellaneous analysts who claim that corrections from Mt. Gox Bitcoin sales have already been priced in and the Bitcoin downtrend was near completion. The article further reported that Bitcoin price reported a gain of 12% during the last week.
Since 4th July, the digital asset was able to break out of 2 months downtrend and reach a price point of $65,154 per unit as per TradingView projections.
Ju further noticed in his social media posts that the Bitcoin accumulating wallets during the last month are not associated with ETF issuers, exchange platforms, or miners. He also reported 16 thousand Bitcoin outflows from Bitcoin ETFs.
North Carolina Governor Vetoes CBDC Ban
The governor of North Carolina, Roy Cooper has been subjected to considerable criticism after opting to veto an anti-CBDC bill. As per the report, the bill was associated with the subject matter of obstructing the Federal Reserve from issuing a Central Bank Digital Currency in the state.
As per the article, this bill had the potential to set a legal precedent for more states in terms of their CBDC policies. The bill received a near-unanimous vote at both houses of the parliament. However, the governor opted to reject the legislature by utilizing his veto power.
Cooper has noted that he was concerned about the restricting innovation and potential blockade to the economic progress of the region. On the other side of the equation, most of the House of Commons and Senate members argue that CBDC issuance can lead to the concentration of power for regulatory authorities and threaten the right to privacy for consumers. Meanwhile, Cooper has retained that the bill lacked clear guidelines.
