Andy Pag, the founder and coordinator of Mt. Gox Legal (MGL) — the largest group of creditors of the now-defunct Bitcoin (BTC) exchange Mt. Gox — has quit his post and decided to sell his claim. Pag announced his decision in a letter posted to the MGL contributor forum on April 4. Mt. Gox Legal — a cooperative of over 1,000 creditors with claims reportedly totaling more than an estimated 125,000BTC (~$649 million at press time) — was formed to seek coordinated legal action to support Mt. Gox’s transition from bankruptcy proceedings to civil rehabilitation (CR). This transition, which formally …

Nobuaki Kobayashi, trustee of the notorious Japanese Bitcoin (BTC) exchange Mt. Gox, has announced Wednesday, April 3, that all creditors who had filed rehabilitation claims have received decisions. In late March, Kobayashi had announced that the processing of filings had come to an end. According to the newly published paper dubbed “Questions & Answers regarding Approval or Disapproval,” the decisions have already been sent to users’ emails. The document provides detailed instructions for the applicants who had previously filed rehabilitation claims. In case one disagrees with the decision, an application for the assessment of the claim can be filed with …

It is one of the biggest cryptocurrency hacks of all time and still remains the biggest Bitcoin (BTC) hack the world has ever seen. The 2011, a security breach on Mt. Gox’s platform, the now-defunct Japanese cryptocurrency exchange, saw 850,000 Bitcoin stolen. Although 200,000 BTC have since been recovered, the subsequent closure of the exchange in 2014 left 24,000 creditors in its wake. Eight years later, the story continues with its villainized ex-CEO, Mark Karpeles, at the forefront and creditors still in the dark as to what a payout agreement would look like. In early February 2019, Cointelegraph reported on …

Japanese prosecutors have reportedly dropped their appeal to the acquittal of former Mt. Gox CEO Mark Karpeles, The Mainichi reports on March 29. On March 15, the CEO of the now defunct Mt. Gox cryptocurrency exchange was acquitted of charges of embezzlement, but was found guilty of tampering with financial records. According to The Mainichi, prosecutors had initially sought to appeal the acquittal on embezzlement charges, but subsequently decided to let the decision stand. Karpeles was reportedly accused of taking 341 million yen ($3 million) of customers’ money in Mt. Gox accounts and spending it on a software developer and …

Nobuaki Kobayashi, trustee of the now-defunct Bitcoin (BTC) exchange Mt. Gox, has announced he has concluded the processing of creditors’ rehabilitation claims and that they will be notified of the results within days. The announcement was published in an English translation on March 19. As previously reported, roughly 24,000 creditors are thought to have been affected by Mt. Gox’s 2011 hack and subsequent collapse in early 2014, which resulted in the loss of 850,000 BTC valued at roughly $460 million at the time. Tokyo attorney Nobuaki Kobayashi, who was appointed to act as civil rehabilitation trustee to manage Mt. Gox’s …

Mark Karpeles — the former CEO of the now-defunct Bitcoin (BTC) exchange Mt. Gox — has received a suspended jail sentence after being found guilty of tampering with financial records. The news was reported by Bloomberg on March 15. The Tokyo District Court has reportedly found Karpeles guilty of mixing his personal finances with those of the exchange in order to conceal the platform’s losses to hackers. He received a two and a half years jail sentence, which he will not have to serve unless he commits another offence within four years. The court however acquitted Karpeles of alleged embezzlement …

The now-defunct cryptocurrency exchange Mt. Gox reportedly liquidated around $312 million worth of Bitcoin (BTC) throughout February and June of 2018 through a Japanese exchange called BitPoint. GoxDox, an organization that was established to assist Mt. Gox creditors, released a photograph of a bank account statement on February 5 showing the alleged transactions sent from BitPoint to the Mt. Gox trustee led by Nobuaki Kobayashi. If the report of GoxDox is accurate, the trustee went out of his way to disregard the suggestion of Kraken CEO Jesse Powell, who explicitly told the trustee to refrain from selling the company’s BTC …

Mark Karpeles — the former CEO of the now-defunct Bitcoin (BTC) exchange Mt. Gox — has refuted controversial crypto figure Brock Pierce's claims he can reboot the trading platform and accelerate compensation for Mr. Gox’s creditors. Karpeles made his remarks in private correspondence with Cointelegraph Japan on Feb. 12. As reported, Pierce — a crypto entrepreneur who co-founded Blockchain Capital, Block.one and EOS Alliance — is attempting to galvanize a “GoxRising” movement, purporting that creditor recovery would be speedier if certain legal and technical barriers were to be overcome. The plan also includes creating a united, tokenized foundation for creditors. …

Top Stories This Week Facebook Reportedly Acquires Blockchain Startup in First Blockchain-Related Acquisition Social media network Facebook has reportedly acquired blockchain startup Chainspace in its first apparent blockchain-related acquisition. According to news outlet Cheddar, the acquisition is considered an “acquihire,” or an acquisition of a company made in order to get the skills or expertise of its staff, as opposed to the company’s service or products. According to Cheddar, four of the five researchers that worked on Chainspace’s academic white paper will be joining Facebook. Facebook had told Cheddar that it had not acquired any of Chainspace’s technology. Leaked Mt. …

A new movement dubbed “GoxRising” is calling for a new, accelerated rehabilitation plan for creditors of the now-defunct Bitcoin (BTC) exchange Mt. Gox, with the long-term goal of rebooting the trading platform. The development was reported in an interview with its author, controversial industry figure Brock Pierce, by TechCrunch Feb. 7. As previously reported, roughly 24,000 creditors are thought to have been affected by Mt. Gox’s 2011 hack and subsequent collapse in early 2014, which resulted in the loss of 850,000 BTC valued at roughly $460 million at the time. Reimbursement of creditors is currently being handled under the stewardship …

Disclaimer: This article has been updated to correct an error in the title, as the amount involved is $318 million, not $318 billion. The trustee for the rehabilitation proceedings of defunct cryptocurrency exchange Mt. Gox reportedly sold large amounts of Bitcoin (BTC) and Bitcoin Cash (BCH) on trading platform BitPoint. Cointelegraph Japan reported on the development on Feb. 5, citing leaked data. An unidentified party reportedly sourced information from the legal proceedings involving Mt. Gox at the Tokyo District Court and showed it to Mt. Gox creditor campaign group GoxDox.com. The information, which appears to be incomplete scans of transactions …

Bitcoin business incubator CoinLab has reportedly filed a 1.7 trillion JPY ($16 billion) claim against the now-defunct cryptocurrency exchange Mt. Gox, according to an alleged photo of the filing document posted on Reddit on Feb. 1. As Cointelegraph reported in its Mt. Gox recap in March last year, in 2013, CoinLab, a former business partner of the exchange, sued the company for $75 million, claiming breach of contract. The contract stipulated that CoinLab would take over the American customers of Mt. Gox, but it never happened. Photograph of alleged CoinLab Mt. Gox claim. Source: Reddit Some in the cryptocurrency community …