Article By Chris Perrotta
Mt. Gox has finally settled with their creditors and has prepared a draft proposal representing how the remaining assets will be paid out. In total, there is about $629.6 million in Japanese Yen, 141,686.35 BTC, and 142,846.35 BCH.
In a document released by the trustee, Nobuaki Kobayashi, shows that there are approved claims for 802,521 BTC, 792,296 BCH, and over $38 million worth of USD and other fiat currencies. The main problem, however, is that there isn’t enough cryptocurrency owned by Mt. Gox or enough fiat owned in order to purchase the required amounts of cryptocurrency to cover their debts. In what appears to be a much smaller amount, Mt. Gox is apparently trying to recover some money owed to them from former CEO Mark Karples and majority owner Tibanne Co.
Having said that, there are no plans we are aware of how Kobayashi will allocate the payouts to the creditors. He appears to continue with the process though as of April 26, 2019, is the submission deadline for a rehabilitation plan proposal.
Although it isn’t a formal rehabilitation plan set by Japanese law, the company’s plan is looking at the issue of distributing other coins that have forked from Bitcoin since the exchanges collapse, Bitcoin Gold (BTG) and Bitcoin Diamond (BCD) being the largest ones. But it sounds like in most cases, the number of altcoins forked from Bitcoin still owned by Mt. Gox is much greater than the daily global trading volume, which is an issue.
“We note that the volume of each of these coins held by the Trustee, in almost all cases, is significantly higher than the global daily traded volumes of these currencies, therefore we are concerned that any attempt by the Trustee to sell them en masse on the open market would result in a downward movement of the value and also not be in the creditors interests.” -The draft proposal
When the full proposal comes out we will give more information on it.