Defunct cryptocurrency exchange Mt. Gox has commenced payments to rehabilitation creditors as part of its rehabilitation plan.

More than 10 years after its collapse, Mt. Gox creditors are finally receiving their repayments. According to a July 5 announcement, payments are being made in Bitcoin and Bitcoin Cash via designated centralized crypto exchanges.

However, rehabilitation creditors must meet certain prerequisites before receiving the payments. These include confirming the validity of their accounts and agreeing to the terms set by intermediary agencies handling the funds. Additionally, the Rehabilitation Trustee and designated cryptocurrency exchanges need to finalize discussions on the repayment process to ensure alignment.

Several recipients have confirmed the development on Reddit. One user reported receiving the exact amount expected on the crypto exchange Bitbank. “The BTC/BCC coins are already under my control,” the user wrote.

Another user shared an email from Mt. Gox stating that their exchange had been credited via a Japan-based creditor. Mt. Gox Co., Ltd. was labeled as the Rehabilitation Debtor, and Nobuaki Kobayashi, Attorney-at-law, as the Rehabilitation Trustee. “This transfer was made to [your exchange], which you designated as your Designated Cryptocurrency Exchange, etc., on the MTGOX Online Rehabilitation Claim Filing System. In accordance with the Rehabilitation Plan, the repayment took effect at the time the transfer was recorded on the blockchain,” the email stated.

According to some responses to the user’s post, only those who selected cryptocurrencies as a means of repayment at the time of filing their claims are receiving the repayments.

At the time of writing, only BitBank and SBI, both Japanese cryptocurrency exchanges, have been confirmed by users as having received the repayments.

Mt. Gox was one of the largest cryptocurrency exchanges before filing for bankruptcy in 2014 due to a catastrophic security attack that led to the loss of around 650,000 BTC belonging to customers and about 100,000 of the exchange’s own.

MtGox customers have finally started receiving Bitcoins! After over 10 years I wasn’t sure anymore if it’d finally happen, but here we are finally!! This has been a long journey and I’m happy to see we’re finally getting there, only a bit more…

A compensation plan was approved by a court in 2021, supported by the majority of affected users. This led to years of waiting before the exchange finally started paying out customers in December 2023.

The recent cryptocurrency repayments come as Bitcoin has dropped below the $55,000 mark for the first time since February. With Mt. Gox moving over 47,000 Bitcoin, the transfers have been flagged as one of the key reasons behind the declining price pressure on the original cryptocurrency.

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