Mt. Gox to delay repayment until 2025, easing selling pressure in the market

After experiencing multiple delays, the former largest cryptocurrency exchange Mt. Gox has once again postponed the deadline for repaying assets to creditors until 2025. While this announcement did not trigger significant market volatility, it successfully alleviated recent investor concerns about potential selling pressure on Bitcoin.

Postponed to 2025: Further Delay Due to Uncompleted Creditor Procedures

According to a statement released on the Mt. Gox official website, the trustee has obtained court approval to extend the final repayment date from the original deadline of October 31, 2024, to October 31, 2025. This delay is to provide creditors who have not completed the repayment procedures more time to ensure they can smoothly receive their entitled assets.

Sale Risk Mitigation: Bitcoin Market Gets a Breather

After partially repaying assets for the first time in July this year, the price of Bitcoin briefly dropped by 3.38% due to potential sale risks, falling below $59,000. With the repayment postponed again, concerns about large-scale sales of Bitcoin in the short term have eased, providing investors with more market stability.

However, as of now, the Mt. Gox wallet still holds 44,900 Bitcoins, worth approximately $2.8 billion. Despite starting to distribute assets to some creditors, a significant portion of the Bitcoins remains undistributed, which has also become one of the market's focal points.

What is the on-chain data tool Arkham? Monitor government Bitcoins from various countries, and introduce the search on-chain tool Arkham Intelligence

In response to this delay, analysts at Coinbase stated in the 10/11 weekly report that this extension could temporarily alleviate selling pressure in the market. However, when these assets re-enter the market in the future, they may still pose volatility risks to the price of Bitcoin. Both Morgan Stanley and Goldman Sachs have cautioned that long-term market impacts still require careful observation.

The Truth Behind the Explosion of "There are still 80,000 Bitcoins" at Mt. Gox: Unrelated to the 2014 Theft