Bitcoin Plummets Below $62,000! Bearish Alert Rings Loud: Former Largest Exchange Set to Repay Over $8.6 Billion, Leaked Screenshot Exposed

Bitcoin has broken below $62,000 in the short term, with a screenshot from the API of the once-largest cryptocurrency exchange, Mt. Gox, exposed on the American social platform Reddit. It shows Kraken preparing for its payment operations, and creditors may soon receive over 140,000 bitcoins, equivalent to more than $8.6 billion in repayments.

Mt. Gox suffered a hacking incident in 2014, resulting in the theft of 850,000 bitcoins. After a decade, the pace of compensation from the exchange is accelerating, with plans to pay creditors 14,200 bitcoins and 14,300 BCH tokens by October this year.

At the end of April, several creditors posted on Reddit that they had received cash repayments and showed the upcoming bitcoin repayments that would be credited to their accounts.

On Monday, a Reddit user named BirdObjective2459 in the subreddit r/mtgoxinsolvency dedicated to discussing Mt. Gox's bankruptcy issues, obtained the following API response, leading him to speculate that Kraken-supported bitcoin repayments could soon begin.

The API response shown in the image includes:

Bitcoin Allocation:

• Creation Date: May 13, 2024
• Remittance Service Provider: Kraken
• Remittance Status: Preparing
• Repayment Currency: Bitcoin

BCH Allocation:

• Creation Date: May 13, 2024
• Remittance Service Provider: Kraken
• Remittance Status: Preparing
• Repayment Currency: BCH

If this API response is accurate, it indicates that Kraken is preparing for the payments, and creditors may soon receive distributions of Bitcoin and BCH tokens.

According to the latest data released by Mt. Gox on Tuesday, the bitcoin balance at the Mt. Gox liquidation trustee's address is 137,890, with the total expected to pay nearly $9.5 billion worth of 142,000 bitcoins, approximately $73 million worth of 143,000 BCH, and 69 billion yen, equivalent to about $510 million, to creditors by October this year.

While the compensation available to Mt. Gox creditors varies significantly in terms of the coins, the upcoming repayments are undoubtedly good news. Over these ten years, the price of bitcoin has multiplied many times, and currently fluctuating between $60,000 and $62,000. The repayment of over 140,000 bitcoins to investors might cause short-term selling pressure in the market, leading to volatility in bitcoin prices.