Kraken has started distributing Bitcoin to creditors of the defunct Mt. Gox exchange, a decade after the historic hack that left many users in limbo.
The disbursements began on July 16, and affected users have reported seeing their crypto balances on Kraken’s platform.
The news was first confirmed on the “mtgoxinsolvency” subreddit, where several users verified the receipt of their Bitcoin.
Some claimants also reported receiving Bitcoin Cash tokens as part of the distribution. This marks a significant moment for the Mt. Gox creditors, who have been waiting for justice and relief for ten years.
Kraken had previously assured creditors that they would receive their funds within seven to 14 days. This promise came after Mt. Gox moved approximately $6 billion in crypto to various addresses.
However, the process has not been without challenges; there have been reports of “brute force” attacks on accounts, indicating that bad actors are attempting to steal the newly disbursed assets.
In addition to Kraken’s distributions, Arkham reported on July 23 that the bankrupt Mt. Gox exchange transferred $2.85 billion to four Bitstamp wallets.
These transfers included 1,598 BTC (worth $106.3 million), 382.4 BTC ($25.4 million), 2,239 BTC ($149.1 million), and 890.9 BTC ($59.3 million). It remains unclear whether Bitstamp will adhere to the same two-week distribution window as Kraken.
Mt. Gox, based in Tokyo, was one of the earliest and largest Bitcoin exchanges before it was hacked multiple times between 2011 and 2014.
Over 850,000 BTC, worth more than $60 billion today, were stolen in what remains one of the largest crypto hacks in history. At least $9 billion is still owed to creditors.
Market observers are now speculating whether the creditors will sell their newly received Bitcoin. If a significant number of creditors decide to offload their BTC, it could put downward pressure on the price. As of now, Bitcoin is trading at around $65,800, down 2.3%.
