Unlike Uncle Sam's 50k BTC, Mt.Gox Investment Fund does not want to sell its Bitcoin holdings: Report
- Bankrupt Mt.Gox’s largest creditor Mt.Gox Investment Fund has plans to hold its returned Bitcoin, rather than selling it.
- The US law enforcement recently transferred 50,000 Bitcoin, seized in the Silk Road case to Coinbase, shedding its BTC holdings.
- The Mt.Gox Investment Fund chose an early payout in September and declined to specify the amount of Bitcoin expected in return.
Bankrupt Mt.Gox’s largest creditor, the Mt.Gox Investment Fund has plans to keep the returned Bitcoin, instead of shedding its BTC holdings. At a time when the crypto market is filled with uncertainty from Silvergate bank’s collapse and US law enforcement’s recent sale of 50,000 BTC, the development could bring relief to Bitcoin holders.
Also read: How US President Joe Biden’s plan for updated crypto tax affects cryptocurrency traders?
Mt.Gox Investment Fund has plans to HODL returned Bitcoin, unlike Uncle Sam
Bankrupt Mt.Gox’s plan to return Bitcoin to its creditors has made headlines alongside uncertainty from Silvergate’s voluntary liquidation. There is a spike in uncertainty among crypto market participants. However, the latest news from a source close to the Mt.Gox Investment Fund could bring relief to BTC holders.
Mt.Gox Investment fund is the bankrupt crypto exchange Mt.Gox’s largest creditor. According to a Bloomberg report, a source close to the matter revealed that the fund has no plans to sell the tokens that are scheduled to be returned in September 2023.
Mt.Gox Investment fund has not disclosed the amount of Bitcoin it is expected to receive in return from the defunct crypto exchange. Irrespective, the development could fuel a bullish sentiment among BTC holders since crypto Twitter and influencers expected creditors will shed their Bitcoin holdings upon receiving them.
While the US government’s law enforcement recently transferred nearly 50,000 Bitcoin to Coinbase, a leading crypto exchange, shedding its BTC holdings, the fund is intent on HODLing. The law enforcement’s Bitcoin holdings were obtained from the Silk Road crimes. Read more about it here: Silk Road Bitcoins worth $1 billion move to Coinbase, another sell-off on the horizon?
Mt.Gox’s bankruptcy trustee holds a trove of $3.1 billion in Bitcoin
The bankruptcy trustee held a trove of 141,686 Bitcoin as well as cash and Bitcoin Cash coins as of September 2019, according to prior documents. At current prices, the Bitcoin holdings are worth about $3.1 billion.
Bitcoin holders have long feared the implications of a massive BTC sell-off. Mt.Gox Investment Fund’s plan to HODL its returned Bitcoin could bring relief to BTC holders and crypto market participants.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
