Crypto wallets linked to the defunct exchanges still hold $2.8 billion of bitcoin after having distributed about $6 billion worth of assets to creditors earlier this year.
The trustee overseeing the distribution of Mt. Gox's remaining assets has postponed the deadline by one year, aiming to complete the process by October 31, 2025.
The delay is intended to address the issue of many creditors still awaiting their payments due to incomplete procedures or other difficulties encountered during the repayment phase.
Despite distributing around $6 billion in assets earlier this year, crypto wallets linked to the defunct exchange still hold 44,900 bitcoin (BTC), valued at approximately $2.8 billion, according to data from Arkham Intelligence.
The pending distribution of these assets has sparked concerns among some in the crypto community, who speculate on the potential sell pressure that could arise if creditors decide to offload their bitcoin en masse in a bid to recoup their losses.
However, delaying the repayment deadline could help alleviate these worries by providing more time for the market to absorb the influx of BTC gradually.
"This could assuage near-term concerns around supply overhangs, though there could be room for downside volatility once those on-chain funds begin moving again," Coinbase analysts David Duong and David Han noted in a Friday report.
Disclaimer:info@kdj.com
The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research!
If you believe that the content used on this website infringes your copyright, please contact us immediately (info@kdj.com) and we will delete it promptly.