In the end, things didn’t go so wrong for Mr. Mark Karpeles. Mt. Gox Chief Executive Officer, Mark Karpeles, will take most of the money from the bankruptcy proceedings. The company he ran, the largest Bitcoin exchange in the world, filed for bankruptcy in 2014. Japanese investors requested to the company the funds they had stored in the exchange platform. The intention was Mt. Gox to return the amounts of Bitcoin stored in Japanese yen.
When the company got bankrupt, it lost one million Bitcoins worth $400 million dollars at that moment. Since 2014, Bitcoin price grew from $400 dollars and reached $7500 some days ago. In the time that the investigation about he bankruptcy proceeded, 200,000 Bitcoins could be recovered. In this way, creditors could be paid with the recovered Bitcoins.
What Will Happen With All the Funds?
What called the attention is the fact that the creditors of Mt. Gox requested Karpeles to give back the funds in Japanese yen and not in Bitcoin. In this way, Mt. Gox fulfilled the former Bitcoin trader’s request and Karpeles will be left with hundreds of millions of dollars. The amount that he will be left with will be around $859 million dollars.
“When it is all sorted out, Karpeles would pretty much get the vast majority (of the extra value),” said Kolin Burges to the Wall Street Journal. Mr. Burges held 311 Bitcoins at Mt. Gox and he feels that it is really unfair what is going on with Karpeles. For his 311 Bitcoins he should receive today more than $2 million dollars, but he will receive instead less than $130,000.
Image Source: CoinDesk