Mt. Gox Continues Bitcoin Dump, Bitstamp Takes a Hit

After transferring 42,587 BTC on July 23rd, Mt. Gox continued to move 37,477 BTC to a new wallet address, along with $130 million worth of BTC directly to the Bitstamp exchange.

On the morning of July 24th (UTC), a Bitstamp representative confirmed that they had received the funds from Mt. Gox and would begin the reimbursement process for customers starting Thursday, August 1st.

According to on-chain data from Arkham, Mt. Gox transferred 37,477 Bitcoin (approximately $2.5 billion) to a new wallet address “12Gws9E” at 04:53 AM on July 24th (UTC). Subsequently, Mt. Gox moved another $300 million in Bitcoin to a cold wallet and then transferred $130 million to the Bitstamp exchange.

This action occurred less than 24 hours after Mt. Gox transferred $2.85 billion in Bitcoin to various wallets on July 23rd, with $340 million of that amount sent to four wallets linked to Bitstamp, one of the platforms chosen as a distribution intermediary.

Data from CryptoQuant revealed that, to date, up to 66.6% of the Bitcoin has been returned to Mt. Gox creditors, meaning approximately 33.4%, equivalent to around $5.6 billion, has yet to be reimbursed.

Mt. Gox announced a plan to repay nearly $9 billion in Bitcoin to approximately 127,000 creditors on July 5th. Some customers have waited over 10 years to recover their funds after the exchange collapsed in 2014.

Related: Mt. Gox to Begin Repaying Debts in BTC and BCH in July 2024

Bitcoin Price Volatility

Following this news, Bitcoin experienced a dump from $65,500 to its current price of $64,000.