Bitstamp has officially confirmed that they have received assets from the defunct Mt. Gox exchange and will begin the reimbursement process on July 25. This is a significant step in the decade-long effort to compensate those affected by the 2014 hack that caused Mt. Gox to collapse.
Bitstamp is one of five exchanges, including Kraken, that are working with the trustee to return digital assets to creditors. Kraken has already completed the restitution process for its users as of July 24.
The reimbursement process will include the distribution of Bitcoin (BTC), Bitcoin Cash (BCH), and Ethereum (ETH) that Bitstamp received from the Mt. Gox trustees to their customers starting on July 25. Recipients will gain full control of their assets within a week after necessary security checks are completed.
Although the initial distributions will not include UK customers, they can expect to receive their restored assets in the coming months. Bitstamp has promised to provide more information to UK customers as the process unfolds.
Bitstamp’s global CEO, Jean-Baptiste Graftieaux, expressed pride in the exchange’s role in facilitating the restitution process and highlighted the significant growth of Bitcoin since the hack. He mentioned that many Mt. Gox investors who were unable to access their tokens will now see significant profits due to Bitcoin’s current value of around $66,000 per coin, compared to $600 per coin at the time of the Mt. Gox collapse.
The Mt. Gox exchange, which was responsible for over 70% of Bitcoin transactions at its peak, had to suspend withdrawals in February 2014 after discovering suspicious activity in its digital wallets, leading to its bankruptcy. Now, over $9 billion worth of Bitcoin, Bitcoin Cash, and Ethereum are set to be distributed as part of the reimbursement process.
This development not only marks a significant milestone in the Mt. Gox reimbursement efforts but also showcases the increased value and growth of Bitcoin over the years. It serves as a reminder of the importance of security measures in the crypto industry and the ongoing efforts to compensate those affected by past exchange collapses.