Are you a former client of MtGox? Have you lost hope waiting for the courts to return your lost funds from the bitcoin exchange? Good news, a number of investors are willing to pay you a percentage of your claims in exchange for your compensation rights.
To learn more about blockchain’s potential in disrupting the financial trading markets of Asia, register now to the iFX EXPO in Hong Kong.
Four hedge funds from the US and Japan are looking to buy bitcoin claims from former MtGox clients as they are betting on the strong price of the cryptocurrency, according to the FT.
The hedge funds are reportedly offering to pay 15% of the yen value of the claims. This is 40% lower than the expected eventual repayment from the court (at 25% of the value of the claims), but it might be worth it if you don’t want to wait a year or more as the case is not expected to be settled any time before that.
Royal C Bank on Why Crypto is Still the Name of the GameGo to article >>
Once the world’s largest bitcoin exchange, MtGox went bankrupt in February 2014 when it reported the disappearance of 850,000 bitcoins in a cyber attack, worth over $450 million at the time. In 2015, the former CEO of the firm Mark Karpeles was arrested by the Tokyo Metropolitan Police department and hit with allegations that he misappropriated more than $50 million from corporate accounts belonging to MtGox.
The matter has also sparked a class action lawsuit in the US against Mizuho Bank which managed all of MtGox’s American fiat deposits and withdrawals.
According to a report for the Tokyo District Court, publicly released a year ago by MtGox bankruptcy trustee Nobuaki Kobayashi, almost 25,000 people have filed claims amounting to about $24 billion.