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>>When MtGox went insolvent, the price of bitcoin tanked and they had enough cash on hand to replace everyone’s funds, but the lawyers said no because there was

>>When MtGox went insolvent, the price of bitcoin tanked and they had enough cash on hand to replace everyone’s funds, but the lawyers said no because there wasn’t enough fees. Which lawyers are you referring to that said "no because there weren’t enough fees"? Seems contradictory because lawyers at the time in 2014 had no idea that the value of the remaining digital assets would rise.

jrflowers 2y ago
I’m going to guess it might’ve been lawyers that are presently happy to have been able to bill hours for this for the past decade
- otoburb 2y ago
  There are two main sets of legal teams in bankruptcy cases: the estate, usually represented by the court appointed trustee's legal team, and individual or groups of creditors who can afford legal representation. The Trustee in this case wanted to sell everything and be done with the case, handling it as a standard fiat bankruptcy. I believe that it was only due to creditors with enough sway (i.e. whales who could afford their own legal teams) that pressured the Trustee to value the assets accordingly. To your point, the consequence of the successful persuasion has resulted in a high number of billable professional services hours from all sides which has definitely been a drain on the estate and creditor wallets. However, anybody (else) implying that it was the [nebulous] "lawyers" who orchestrated an evil scheme to perpetuate their billable hours from the get-go is being disingenuous and/or lazily finger pointing, unless of course they have some evidence or sources to back their assertion up.
  - jrflowers 2y ago
    > being disingenuous and/or lazily finger pointing This makes sense because confidently saying “it just sort of happened” is less nebulous or lazy. It is intellectually dangerous to attempt to connect decisions made by groups of people to either the people involved or their decision making processes.

jrflowers 2y ago

I’m going to guess it might’ve been lawyers that are presently happy to have been able to bill hours for this for the past decade

otoburb 2y ago
There are two main sets of legal teams in bankruptcy cases: the estate, usually represented by the court appointed trustee's legal team, and individual or groups of creditors who can afford legal representation. The Trustee in this case wanted to sell everything and be done with the case, handling it as a standard fiat bankruptcy. I believe that it was only due to creditors with enough sway (i.e. whales who could afford their own legal teams) that pressured the Trustee to value the assets accordingly. To your point, the consequence of the successful persuasion has resulted in a high number of billable professional services hours from all sides which has definitely been a drain on the estate and creditor wallets. However, anybody (else) implying that it was the [nebulous] "lawyers" who orchestrated an evil scheme to perpetuate their billable hours from the get-go is being disingenuous and/or lazily finger pointing, unless of course they have some evidence or sources to back their assertion up.
- jrflowers 2y ago
  > being disingenuous and/or lazily finger pointing This makes sense because confidently saying “it just sort of happened” is less nebulous or lazy. It is intellectually dangerous to attempt to connect decisions made by groups of people to either the people involved or their decision making processes.