Coindesk Logo

Mt Gox Trustee Sells $400 Million in Bitcoin and Bitcoin Cash

Mt Gox Trustee Sells $400 Million in Bitcoin and Bitcoin Cash

Mt Gox Trustee Sells $400 Million in Bitcoin and Bitcoin Cash

Mt Gox's bankruptcy trustee has sold $400 million worth of cryptocurrencies in the past few months.

Mt Gox's bankruptcy trustee has sold $400 million worth of cryptocurrencies in the past few months.

Mt Gox's bankruptcy trustee has sold $400 million worth of cryptocurrencies in the past few months.

AccessTimeIconMar 7, 2018, 4:30 PM
Updated Aug 18, 2021, 8:24 PM

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

As much as $400 million in cryptocurrencies was sold in the past few months by the bankruptcy trustee of the now-defunct Japanese bitcoin exchange Mt Gox.

 were published on March 7 by trustee Nobuaki Kobayashi, revealing that JPY 42,988,044,343 – an amount worth roughly $405 million at press-time prices – was generated. According to the creditor report, the trustee liquidated 35,841.00701 BTC and 34,008.00701 in bitcoin cash.

As Kobayashi explained:

"As a result of the consultation with the court, I considered it necessary and reasonable to sell a certain amount of BTC and BCC at this point and secure a certain amount of money for distribution resources, and thus, I sold the amount of BTC and BCC above. I made efforts to sell BTC and BCC at as high a price as possible in light of the market price of BTC and BCC at the timing of sale."

Indeed, the amount roughly matches the number of claims made against Mt Gox, which collapsed in 2014 amid claims of insolvency. Hundreds of millions of dollars' worth of bitcoin were lost at the time, though 200,000 BTC was later found amid the recovery efforts. The exchange's collapse triggered a global regulatory response, including in Japan, and CEO Mark Karpeles was ultimately charged with embezzlement and data manipulation, to which he pled not guilty last year.

Notably, wallets associated with the Mt Gox trustee saw significant withdrawals between December and February – the period in which they were sold – including 18,000 BTC that was moved on February 5. As CoinDesk previously reported, that day saw steep declines across all cryptocurrency markets, pushing prices down roughly 50% from their 2018 highs.

According to Kobayashi's report, additional liquidations could be coming, pending approval from the bankruptcy court.

"I plan to consult with the court and determine further sale of BTC and BCC," he wrote.

As it stands, Kobayashi is in possession of 166,344.35827254 BTC – an amount worth $1.7 billion at press time – as well as about $197 million worth of bitcoin cash.

Bitcoin and yen image via Shutterstock

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.