The management of the bankrupt Bitcoin exchange Mt.Gox has announced the postponement of the compensation payout deadline from October 31, 2024, to October 31, 2025.

“As it is preferable to make payments to creditors for rehabilitation as far as practically possible, the trustee, with court permission, has changed the deadline from October 31, 2024, to October 31, 2025,” the official statement from the exchange reads.

Previous Delays and Market Impact

This is the second delay in the payment schedule — previously, in September 2023, Mt.Gox extended the compensation deadline from October 2023 to October 2024. This delay temporarily reduces concerns about mass Bitcoin sales that could put pressure on the market.

Throughout 2024, the exchange moved significant amounts of cryptocurrency, totaling $9 billion, $6 billion, $2.85 billion, $2.25 billion, and $784 million.

Assessing the Impact on Bitcoin’s Price

Some experts believe that the impact of Mt.Gox’s payouts on Bitcoin’s price may be exaggerated. In a report, JPMorgan noted that creditor sales do exert some pressure on the market, but Glassnode believes that most creditors are HODLers, which may mitigate the impact on Bitcoin’s price.

A Long Road to Compensation

Mt.Gox clients have been waiting for their funds for ten years. The rehabilitation process began in June 2018, and in 2021, the Tokyo court approved the compensation plan proposed by the exchange. Most creditors supported the initiative, and the first payouts started in December 2023.

Mark Karpeles’ New Project

In September 2024, former Mt.Gox CEO Mark Karpeles announced the launch of a new cryptocurrency exchange, EllipX, in Poland. The exchange will focus on “transparency” and user-friendliness.