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> However, after a strange turn of events, it turned out that creditors of Mt. Gox, or former bitcoin traders on the Mt. Gox exchange, requested an equivalent a
by thisisit 9y ago
> However, after a strange turn of events, it turned out that creditors of Mt. Gox, or former bitcoin traders on the Mt. Gox exchange, requested an equivalent amount of bitcoin to be paid out in Japanese yen at the beginning of Mt. Gox liquidation proceedings. In simpler terms, creditors requested Karpeles and Mt. Gox to process refunds in Japanese yen rather than bitcoin, which has risen substantially in value since then.
Anyone has insights why did they do that? If they were owed 1 BTC, they then were supposed to be paid 1 BTC, why opt for Yen instead?
My assumption is it was because the last rally of 1k USD had come down to 400 by the time this came around and people felt they were owed equivalent value in fiat.
- weavie 9y agoI guess it shows how much confidence the creditors had in bitcoin at the time.
- pxeboot 9y agoProbably seemed like a safer option if there was no legal precedent for returning cryptocurrency. Also, prices could have dropped just as easily as they went up.
- JustAnotherPat 9y agoBecause they only recovered a fraction of the bitcoin lost, so there wasn't enough bitcoin to be distributed. They wanted the equivalent price in cash, which seemed like a more obtainable goal but still at the time was greater than what could be met by selling the 200K bitcoin they recovered. Who knows, maybe they thought they could get it from insurance or something like that. Of course, now that the 200k bitcoin are worth more than the 800k lost were at the time of the hack, they want more money.
- unknown_apostle 9y agoI have the form right here in front of me. I requested to be paid in bitcoin.
- roel_v 9y agoYes, you requested to be paid out in btc. That doesn't affect the size of the claim.