Mt. Gox CEO Karpelès Confirms: ‘Everything Is Fine’ Amid Bitcoin Transfers
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In a significant move, the Mt. Gox cold wallet has transferred 12.24k BTC, valued at around $840 million, to an unmarked address. This is the first such movement from Mt. Gox since July 2019, resulting in several questions and speculations about the implications for the cryptocurrency market.
Official Statements Confirms There’s Nothing To Worry About
Mt. Gox Trustee Nobuaki Kobayashi released an official statement today, 4 hours after the unnamed transfer, addressing concerns over the management and repayment of cryptocurrencies. In the statement, he assured us that no repayments have been made yet and that all cryptocurrencies are under secure management.
He said, “The Rehabilitation Trustee is currently securely managing bitcoin and bitcoin cash. As the Rehabilitation Trustee is proceeding with the preparation for the above repayments, please wait for a while until the repayments are made.”
The statement aimed to reassure creditors and the wider crypto community that the trustee is acting responsibly with the assets and that the repayment process is on track.
Mark Karpeles, former Mt. Gox CEO, also took to X to reassure the community by mentioning, “As far as I know, everything is fine with MtGox. The trustee is moving coins to a different wallet in preparation of the distribution that will likely happen this year, there is no imminent sale of bitcoins happening.” His comments targeted calming the market and stating that the transfers are part of the planned distribution process.
Market Reaction to Undeclared Transfer
The transfer resulted in a noticeable reaction in the market, with Bitcoin’s price slipping below $68,500 from its previous high of over $70,600. The sudden movement of such a large amount of BTC understandably spooked some investors. However, the price stabilized quickly, reflecting resilience in the market despite initial fears.
DeFi expert ‘OxBlue’ pointed out just how sensitive the market is too large transactions, remarking, “75,021 BTC just transferred and the price dips 2%.” Mt. Gox trustee’s transfer of approximately 5 billion dollars worth of BTC are marked as nothing to worry about as they are “preparations to start repaying creditors.”
Crypto analyst Mikes Deutscher points out that the market was ‘spooked’ by the Mt. Gox worth over $7b transfer to an unknown wallet because it was much ahead of the creditor repayment deadline on 31 October. He states that he is not worried about the transfers since Mt. Gox asked creditors for final information in January. He views the associated fear, uncertainty, and doubt (FUD) as an opportunity for accumulation.
Crypto and stock investor Jelle added, “Bitcoin is holding the bullish flag, despite Mt. Gox transferring a boatload of coins. Market is rangebound — but will quickly turn fully bullish if we get above $70,000 again.” His comments reflect a cautious optimism that the market can absorb these large movements without significant long-term impact.
Read More About This: Mt. Gox Transfers $840M in Bitcoin Ahead of Creditor Payout: BTC Price to Drop?
