MT Gox to return $2.6 billion worth of Bitcoin

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If you are not familiar with MT Gox, it was one of the biggest Bitcoin heist ever executed on the largest exchange.

MT Gox announced in February 2014 approximately 850,000 Bitcoin were stolen. MT Gox private key was believed to be unencrypted and stolen. At the time MT Gox was handling almost 70% of the all Bitcoin transactions. Of that 850,000 Bitcoin, around 750,000 Bitcoin was owned by customers.

It is believed the 2014 hack was related to the previous hack in 2011 when hackers got access to an auditor's computer.

At the time, the Bitcoin was worth about $460,000, at the current price it would be worth $24,085,500,000 or around $31,345,297,500 at Bitcoin's all time high.

A trustee for MT Gox has drafted a proposal to return 140,000 Bitcoin to customers. This comes out to about 18.6% of customer owned Bitcoin returned to the original owners, more than 7 years later. At the time of the hack, Bitcoin was worth around $700. Bitcoin is now trading over $32,000, up 45,714%.

Even if you factor in the fact they will only be receiving ~18.6% of their Bitcoin, they would still be looking at 850% return from their initial token price. While that is a fantastic ROI, they missed out on a much larger ROI with their own money and it has been unavailable to them for 7 years.

The proposal is under review by the Tokyo court system, if approved around 140,000 Bitcoin (~4.5 billion USD) will be distributed to original customers and potentially on the market.


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Do you think any of that Bitcoin will get sold applying further downward pressure?

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I'm sure at least some of it will be sold for sure.

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I remember there was an auction of found btc during the Silk Road scandal. Story goes the auction was won by people who were in the know and closely related to some politicians. Who is to say the undiscovered btc lost from MT Gox was not held up and taken by government officials? 140k seems like a lot but if it’s only 18.6% given back that’s not much. Something smells fishy.

Most of it was stolen, but they found 200 BTC on some older wallets.

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Would that not be easier to trace if the btc was stolen? I vaguely remember the ceo got his wallets hacked where most btc were stored but still with a ledger that basically has all the transactions ever made surely they can trace back its origin MT Gox wallets and find where they were last removed? Bottom line it just feels customers still getting shafted here. I get your point that they got something out of it and it gained a lot over the years so that’s good for them.

Now I am wondering if I even had any BTC in Mt Gox. I feel like I did way back when, because I definitely had a few BTC along the way when it was worth tiny amounts that I just left behind on old discarded computers and around the internet. Sure could use a windfall from Mt Gox, maybe that was where I left two or three coins? I dunno. How would they know? I don't recall if I even ever identified myself to them to use their service back then? Did we have to tell them who we were? I don't remember. Luckily I still have the same email address. I think...

This will definitely result in a sizeable correction if those Bitcoin were returned and subsequently dumped onto the market. For many, it'll be free money as the value has far exceeded the original value.

the price will tank there is no doubt about it.

I only believe it, when it happens.

I lost over 8 BTC to mtGOX. I still remember it being on withdraw for around 20 days before the website yet down and searching forum's to find out what was happening.

I registered to claim about 18 months ago, maybe more. I had 2 wallets on there, 1 with about 8 BTC and another with like 0.1 BTC (darkweb wallet, lol). I'll believe it's true when the BTC hits my wallet. I've not really looked into this because they have been dragging it out for years already and i've written it off years ago.

Cool post,

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Logged into the claims website again there to see what the site says. No updates in over a year but i've just seen i "will" be refunded some BTC cash as well. lol.

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That's insane, for that large of a a robbery. It is definitely an inside job. "Got a hold of the auditors computer". I call BS.

I do auditing as a job, my computer has more encryption than a bitcoin wallet. Even if you got a hold of my computer you wouldn't be able to access anything. It would take you years to breach the encryption and by then it would have already been reclaimed and wiped remotely.

They obviously had a cheap auditor that didn't know what they were doing or just blaming the auditor for something they are covering up.

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