Mt Goxs Bitcoin Transfers to B2C2 Group Exceed $364M: A Closer Look
Recent analysis has uncovered how bankrupt entity Mt. Gox capitalized on the Bitcoin uptrend since the premier asset surpassed the $100K level this month.Blockchain resource Lookonchain revealed a series of substantial Bitcoin transfers from the Mt. Gox rehabilitation fund to the market maker B2C2 Group. It observed that, since December 5, Mt. Gox has been distributing between 200 and 300 BTC to B2C2 every working day, offloading a total of 3,631.87 BTC.These transactions are worth approximately $364 million and are believed to be part of Mt. Gox's creditor repayment process.Daily Transfer BreakdownThe initial transfers began with 200 BTC per day, valued at $20.5 million and $19.6 million for December 5-6, respectively. However, between December 9-13, a consistent pattern of 300 BTC transfers emerged. The daily values ranged between $28.8 million and $30.2 million.The period between December 16 to 19 saw the largest daily transfers, with transfers worth between $30.1 million and $31.9 million per day. This coincided with Bitcoin reaching an all-time high of $108,300.By December 20, the volume had decreased to 200 BTC, valued at $19.4 million, with a similar value moving on Monday, December 23. The most recent transfers occurred today and saw the movement of 131.87 BTC worth $12.4 million.Purpose and Implications on BTC PriceMarket commentators believe the transfers are to be part of Mt. Gox's creditor repayment strategy. Mt. Gox, the Japanese Bitcoin exchange that collapsed in 2014, announced the commencement of creditor repayments in July 2024. Customers have waited a decade for refunds after Mt. Gox lost up to 950,000 BTC in hacks.The announcement noted that payments would continue for eligible users who complete account verification and sign up with designated exchanges. At the time, the bankruptcy estate held 138,985 BTC, worth $7.5 billion. Meanwhile, the most recent data from Arkham shows it holds 36,085 BTC, valued at approximately $3.47 billion.Essentially, this confirms that the repayment process is progressing, with billions of dollars in Bitcoin already distributed. For instance, in November, the defunct platform dispatched BTC worth approximately $2.2 billion to three external addresses.Analysts had previously warned of the possibility of selling pressure as creditors cash. Yet, they noted that market liquidity could absorb this without major disruption, especially since the total Bitcoin owed represents well below 1% of the total supply, and not all funds will be liquidated at once.Meanwhile, news of Mt. Gox's Bitcoin movement to external wallets has often raised eyebrows in the crypto community.
Text source: The Crypto Basic
