It has been just reported the fact that Mt. Gox has started repaying some creditors via PayPal. Check out more details about this below.

Mt. Gox repays creditors

It seems that Mt. Gox has begun to repay some of its creditors after the trustee of the now-defunct bitcoin exchange announced last month that it would soon repay its creditors in cash.

According to a Reddit thread, a few users who seem to be creditors of the defunct Bitcoin exchange have reported receiving their payments from Mt. Gox via PayPal.

“I just got paid,” one user named Free-End2543 wrote, attaching a screenshot of an emailed notification from PayPal.

“I just got my initial payment via Paypal!! I was sure it was a phishing attempt on my email, but nope legit money in JPY,” another user named rpostwvu said, with several others posting similar messages on the social media platform.

A member of the Telegram group chat called “MtGoxCreditors” has confirmed that they received a payment in Japanese yen from the trustee of Mt. Gox through PayPal, dated December 25th.

The Block reached out to the rehabilitation trustee of Mt. Gox for comment but has not yet received a response.

Last month, Mt. Gox informed its creditors via email that the rehabilitation trustee is working towards making repayments in cash within the 2023 calendar year.

Due to the large number of rehabilitation creditors, repayments may continue into 2024.

In September, Mt. Gox announced that it had extended the deadline for rehabilitation creditor repayments from October 31, 2023, to October 31, 2024.

Mt. Gox was launched in 2010 and quickly gained popularity to become the largest bitcoin exchange by 2013, servicing 70% of all bitcoin trades worldwide.

However, in early 2014, the company suspended trading and stopped all withdrawals.

The site then went offline and the company filed for bankruptcy protection after losing over 800,000 bitcoins.

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