The deadline for entering repayment details has been moved (1) from January 10 to March 10, which means the never-ending gouging will continue.
"The deadline to select a repayment method and to register payee information in accordance with the Rehabilitation Plan ("Selection and Registration") is January 10, 2023 (Japan time)," the Trustee said. "However, having obtained the permission of the court, the Rehabilitation Trustee has changed the deadline to March 10, 2023 (Japan time)."
There have been a several issues with the requirements for re-identification because some creditors have brought up the fact that you need to renew your identity certificate for it to work even though it has not yet reached its expiration date.
Even though the approximately 10,000 creditors of MT Gox from all over the world had previously given their KYC and ID documents at least twice since 2014, the Trustee decided that they should do it once more.
They now have until March to complete the process, enabling them to enter their Bitcoin address on an exchange such as Kraken or one they run themselves.
They are also required to provide their banking information so that the fiat currency, equivalent to around $250 million worth of Japanese yen, may be given to them.
This was made possible by the MT Gox Trustee trying to sell half a billion Bitcoin worth in 2018, a sum that has since been cut in half due to the significant depreciation of the yen compared to the dollar. However, if it had been kept in Bitcoin, the value would have remained at least constant, and it may even have increased.
Additionally, they are scheduled to get approximately 135,000 Bitcoin and an equivalent amount in Bitcoin cash. This figure represents a reduction from the initial 200,000 Bitcoin MT Gox gave over to the bankruptcy Trustee.
Because the dinosaurs require six months to input key account details, the payment for this sum is scheduled in September. The Trustee, Nobuaki Kobayashi, said:
"Having obtained the permission of the court, the Rehabilitation Trustee has also changed the Base Repayment Deadline, Early Lump-Sum Repayment Deadline, and Intermediate Repayment Deadline from July 31, 2023 (Japan time) to September 30, 2023 (Japan time)."
There is only a difference of three months; after eight years, it scarcely matters if it is July or September. What is significantly more important is the fact that this is now happening.
The End of the Longest Crypto 'Withdrawals Ban'
The bankruptcy of what was once the largest and almost the only Bitcoin exchange is finally ending. This coincides with opening multiple new bankruptcies in the crypto currency industry, one of which is FTX.
These, too, are likely to take over a decade because the judicial system and wider bureaucracy continue to operate mostly on paper and frequently rely on very outmoded procedures to protect themselves from the upheaval that is occurring around them.
The lengthiest imposed crypto holding in history – it's only been 14 years – however, it worked out wonderfully for creditors, who have 100x-ed their total upfront outlay in what may very well have been the most profitable insolvency, possibly in history. This is the case even though the holding period is the longest it has ever been.