Topic: MtGox finally going to distribute 137,000 BTC sometime next month (Read 384 times)

"Not your keys, not your coins". This statement is very popular but hearing about it and practicing it are different. Many educational resources about it but people mainly read and forget. They don't turn reading from practicing until losing money because lack of key ownership.

• Exchange hacks, scam exits are lessons from the past.
• Recent events should make everyone withdraw all their coins to their own wallets
• Wallet Basics
• Security checklist (Do's and Don'ts)

I dont think a Gox dump is a primary concern with Euro and YEN inflating Dollar value generally bringing weight against the BTC price theres larger issues then a temporary influx of liquidity.   Some will sell some wont, others will buy up the Gox coins knowing its changing nothing beyond the order books on that day.   Its only debatable as triggering weakness already existing, its a given BTC is challenged for a while yet slight positive today and future battles ahead.

Mt.Gox restricted withdrawals as I remember, it was like this for ages and didnt seem right to me to do that as it created an imbalance in the price, kinda inverse to now there was a false high again related to liquidity.   I didnt know what was going on but seemed wrong to me so I generally avoided the place and most people found out afterwards though a few had warned from  start of various upsets it was a ship taking on water.

Especially the price right now is so high so provably they might struggle to distribute all of the funds if they really have plan to do it because for sure they will got a problem for bloating value of bitcoin. But hopefully this scenario will happen because there are so many Mt.gox users wait this scene to happen for to so long. But for me I don't expect anything about it since for maybe I doubt they can or they have capabilities to return back the money.

It is understandable for them to try to give people some money back when it is 20k, I seriously doubt that they have all they want, they probably lacked some funds, and this drop helped them a lot. I even imagine that they may have sold a bit higher, and rebought at lower in order to pay more to people.

This is a weird situation, don't know how they are going to "finally" distribute it, I mean the method. They can't just send money back right away, most of it would be gone, there needs to be a better method, maybe some people use different wallets, would make sense. In any case, it's suspicious timing for sure, I agree with that, and I think there is something fishy going on.

For everybody claiming that people were dumb for keeping their bitcoins on an exchange. Consider the fact that hardware wallets weren’t released back then.

Only way to keep your crypto was using something like Electrum or Armory or do some paper wallet with cold storage. Most couldn’t do that because it was much more complex than a simple hardware wallet.

Of course! That's why they didn't do it last year. They had all the personal information and all the coins. If I'd get all that info and access to money, I'd be able to serve 10 people a day with ease and be done with all this distribution in 6 months tops, all alone. They have a group of people there and can't even do 1 person a day. It's obvious they were waiting for a technical bottom to appear and once analysts started predicting that we're near it with miner capitulaltion and 200W broken, they came out with the news that after all those years of holding they're finally going to start paying people back. I wonder how much money they made on the market claiming all the airdrops and forks with that BTC.

I did not follow the story, but did some amounts will be deducted, for example, as taxes or fees, or it will be afull refunded?
We have a similar case when Luna dumped about 80,000 bitcoins to the market (80,000 Bitcoins Dumped By Terra's LFG Quickly ) but the effect was immediate so if there was bad news it would have already happened.
So my guess is we'll see a rise.

There are many factors in play here. For instance, many of these victims are still here and have been holders since 2013. They had some of their money on Gox, but remained in the space after the collapse. They still have bitcoins that they held for years, or bought during this recent crash. They are aware of low prices and receiving additional bitcoins will not change anything in their attitude towards bitcoin.

Think about it, you had 10BTC in 2017 and held, then bitcoin hit 60k, you sold 5 BTC and bought back somewhere in the 40-20k range. You get another 10BTC from gox, but know that bitcoin is down 70% from its ATH. Maybe you'll sell 1BTC to celebrate, but those additional coins won't make you turn from a holder to a panic seller.

If I were to receive money from somewhere, I wouldn't dump it at these prices. I'd rather wait a year or 2 for us to hit at least 35k, which is a modest 50% of ATH, and get 50% more in fiat money, or wait it out until another halving and possibly get to sell for 100k.
What's the risk- reward ratio here? Worst case scenario you're risking a temporary dip to -80% from ATH, which is going to be some 12k USD. Best case scenario we'll have a new high next year and you'll score x4 your current money. Holding here makes much more sense.

The horrible part is that they are still manipulating the market. They are not even going to distribute that much all at once, they are going to "start" distributing it, meaning that they are not going to pay everyone right away and it will be just a smaller amount, over course of a long period, and would not make a big deal in the market because that type of deal will not make a big difference.

But, the reality is that we are getting lower more than what this deal would have made, just from the news of it. If it was distributed and sold, it wouldn't drop the price as much, but the news of it does. Because, it’s manipulation, mt.gox trustees are trying to manipulate it to go down, so they would spend less.

some of them may probably choose fiat to wait for price to dip. his is going to be funny because they might think the rest will eventually sell when they received the BTC.

it doesn't make sense to sell now while the price is very low already. but perhaps some users will sell while they are already in the brink and no job and its a huge profit because that was just $400/btc during that time. this is an unexpected money for some also because 8 years after they hold withdrawals, they've already lose hope but here we are.

I do not know how the victims will be compensated? But if they were to give them fiat for the bitcoin they owned, how would the price of bitcoin be calculated? Will it be calculated at the current price? Or at the market price in 2014 when the MtGox exchange closed? I don't know actually because if they were compensated at the 2014 price when the MtGox closed they wouldn't get much because the price at that time was around $400-800.

I don't think the trust will struggle to make OTC deals. Up to half of Coinbase's volume is institutional based on OTC deals (they have stated in the past), so it's not like there will be lack of demand. Such an increase in OTC supply can no doubt affect the spot market indirectly, with OTC prices dropping, and no doubt some whales will try and take advantage of this situation to the downside as per usual.

I just don't see the sort of spot market volatility that many are anticipating and we've seen recently from institutional liquidations that were done via spot market. The only coins to be released will be to those who don't plan on immediate selling. This is lining up to be a classic sell the rumour buy the news event imo. For institutions it'll likely mean remaining patient in order to get cheap OTC deals in the near future.

In any case, this is a old FUD. I hope the users finally get their coins back, and if they dump them, better to do it now, when we are in a bear market, than later, after the next halving. Then the market will get rid of this fear, that is around for 8 years already.

And may this be a lesson for the dumb people who let all their coins in exchanges, instead of adopting them in their own devices.

It's been almost seven years since this damned exchange has collapsed, Mt.Gox is the worst exchange I've ever seen in the crypto world, so, if Mt.Gox has recovered the hacked BTC, what percentage of the recovered funds will be returned to the victim.

However, if the Mt.Gox exchange actually rehabilitates and refunds stolen funds to victims, this will have a worrying impact on the price of Bitcoin going forward.
Speculation:
1. Those/victims who get compensation for Bitcoin returns by Mt.Gox, this will trigger the Bitcoin price to fall even more, due to massive Bitcoin selling pressure.
2. The effect of bankruptcy on Mt.Gox, is in sight, if they distribute directly to victims, given the current cost of Bitcoin prices.
3. Will create a new millionaire next month, if the victim is actually recovered by the Mt.Gox exchange.

Did Mt.Gox side, talk about the chances of how they plan to handle all that rehabilitation, did they plan strict rules for the victims, I'm a little worried, the value that has to be spent is billions of dollars.

You missed the fact that every victim can choose whether he wants Bitcoin, Bitcoin fork coin, or fiat - and if the trustee is going to sell Bitcoin to pay off fiat, he won't be so stupid as to bypass the OTC, although nothing about those genius Japanese people would surprise me. Someone wants to portray the whole thing far more negatively than it actually is, it is not about 1 million BTC, but just a little more than 140 000 BTC.

The market is likely to be flooded, the people who will get their money after all these years will not wait for the bull market to sell their bitcoin, they will most likely sell immediately at any price until they make sure their money is back to them, these huge quantities if they are sold and pumped into the market in a batch One is sure to get more dump to the market than it is now, so I hope these are sane (or some of them at least) and don't sell all at once. Frankly, the market is suffering mainly and we do not need another negative impact.

It's becoming a classic, when bitcoin falls and the market panics, that's when the news about MtGox starts coming out. It's funny how the bad news strategy doesn't change every time. Hopefully this is the final part of the bearish scenario and a reversal will happen soon.

Even selling bitcoin by these people in a downward bear market will bring them a good profit, because a lot of time has passed since MtGox closed. Most of these users would not have kept their BTC by now, but would have sold much sooner. So, when they get their btc back, it will be possible to say that this sad story with MtGox only benefited them despite the long wait and hassle.


That means another collapse in prices is possible next month.

We’ve gotten many emails over the last near decade about mtgox. This one didn’t specify anything that made me feel like a payout would take place next month, but we’ll see. I’ll believe it when I’ve got BTC in my wallet. Until then, it’s just another notification that they’re working on it. The amount of funds they’ve been paid to do something as simple as distribute what BTC they have left is a bit shocking to me. I see no reason they’ll do anything quickly, but do think this is the most interesting thing in Bitcoin at the moment.

Buy rumors sell facts. MTgox fud is here since the very first day i entered crypto - 2017. I guess we may see a dump below previous low (final leg down that everyone is expecting) and then a decent recovery made by front runners closing positions and from investors knowing that bitcoin fundamentials are better after this 8 year long case is over. From long term perspective ... its good we will finally have this fud over.