Mt. Gox transfers 11,501.4 BTC worth over $1B to cold and hot wallets

On-chain data from Arkham Intelligence revealed that bankrupt crypto exchange Mt. Gox transferred 11,501.4 Bitcoin (approximately $1 billion) on March 25. The analytic firm noted that the exchange had sent 893 BTC to its cold wallet (1Jbez) and another 10,608 BTC to another wallet (1DcoA).

The bankrupt crypto exchange also transferred a total of 12,000 BTC worth over $1 billion on March 6 and another 11,833 Bitcoin on March 11. On-chain data from Arkham Intelligence showed that the exchange still holds around 35,000 BTC worth $3.1 billion across wallets it controls.

Mt. Gox transfers another $1B BTC

Arkham Intelligence revealed that Mt. Gox had moved another 11,501 Bitcoin in its third significant transaction in less than a month. The analytic firm alerted the community that the Japanese exchange had sent 893 BTC worth around $78 million at current prices to the Mt. Gox cold wallet (1Jbez). The firm also noted that the exchange transferred another 10,608 Bitcoin, worth around $929 million, to the Mt. Gox change wallet (1DcoA).

Blockchain analytics platform Spot On Chain revealed that one of the previous transfers this month ended up in the crypto exchange Bitstamp. The analytic firm also speculated that the 893.4 Bitcoin “sent to the warm wallet will be moved out shortly too.”

The analytic firm showed that the Mt. Gox wallet (1PuQB) had moved a total of 12,000 Bitcoin worth over $1 billion on March 6. Arkham also noted that the exchange had sent $15 million of those funds to BitGo, which was one of the custodians facilitating Mt. Gox’s creditor repayments. The company had also sent 166.5 BTC worth around $15 million to Mt.Gox cold wallet, while the remainder of the assets were moved to an unidentified wallet (1Mo1n).

The defunct exchange transferred another 11,833 BTC on March 11, worth over $930 million. The firm had also moved 11,501 BTC worth around $905.1 million into a new wallet, while the remaining 332 BTC ($26.1 million) were transferred to a warm wallet. Spot On Chain analytic firm revealed that the 332 digital assets may also be moved to assist with the repayments.

Spot On Chain data also showed that the exchange started offloading around $9.2 billion worth of BTC in June 2024. The crypto company fell into bankruptcy in early 2024, and on-chain data indicated that some past movements of its BTC holdings were followed by creditor payouts, which began in 2024. 

Mt. Gox moves BTC for creditor compensation

Mt. Gox was declared bankrupt in early 2014 after it suffered an 850,000 BTC loss in one of the biggest crypto hacks ever recorded. The firm was considered the largest Bitcoin exchange before the security breach, handling around 70-80% of trades.

After the exchange collapsed in February 2014, a Tokyo court appointed a trustee to manage the bankruptcy proceedings and compensate creditors with the exchange’s assets. The exchange’s trustee in charge of its stash pushed the deadline for creditor repayments by a full year to October 31, 2025. The trustee also argued that many creditors “still have not received their repayments because they have not completed the necessary procedures for receiving repayments.”

The firm also said that creditors had the option to receive their payouts in Bitcoin. A Reddit poll conducted on Mt. Gox Insolvency subreddit in July 2024 following the exchange’s first payout discovered that creditors were not rushing to sell their digital asset payouts. 

Mt. Gox Insolvency is the sub for the digital asset investors affected by the 2014 collapse of Mt. Gox. The firm also acknowledged that Mt. Gox Insolvency was participating in the official Mt. Gox insolvency process in Tokyo through the Japanese court system. The poll indicated that approximately 260 Mt. Gox creditors, representing 56% of the 467 poll participants, planned to hold onto their virtual assets after receiving their payouts.

The defunct crypto exchange also moved over 24,000 BTC worth nearly $2.4 billion to an unknown address last December after the virtual asset hit a milestone of $100,000. Less than two weeks later, the firm also moved around 1,620 BTC through another series of unknown wallets.

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