Japan-based cryptocurrency exchange Mt. Gox stole about 850,000 Bitcoins in a hack in 2014. For this reason, the defendant Mt. Gox announced that its creditors will repay some of their stolen assets. This has again raised vital concerns about Bitcoin's price stability.
At the end of the eight-year period, the company announced that it would repay a portion of their investment to the victims. The company recovered 140,000 of the stolen Bitcoin and is holding it to give to creditors.
Experts draw attention to three options before creditors and their possible effects on the market. First, creditors can liquidate their assets. The reason for this is the expectation that Bitcoin will fall and the increasing inflationary environment in the world negatively affecting individuals economically and the need for cash. This scenario may lower cryptocurrencies a little more.
Secondly, it can turn to other cryptocurrencies. Ethereum comes first because there is hope that new updates that Ethereum will roll out soon may increase prices. Creditors can also turn to different crypto assets that they expect will rise. This scenario is expected to have a positive impact on cryptocurrencies.
Finally, creditors can protect their Bitcoin holdings in hopes of rising again. There is a segment that 'holds the cryptocurrencies at the cost of their lives'. A mass called 'HODL' protects their investments without losing their faith in the crypto assets in their hands, whether they come down or not. Bitcoin had risen to the level of $ 68 thousand at the time. It is currently at $25,000. If creditors hold Bitcoins with the effect of 'HODL', this may also reflect positively on the market.
According to the site Coingape, which publishes on the crypto money markets, the impact of this situation on the markets may not be very high.
According to the data, 140,000 Bitcoins make up 8 percent of the cumulative daily exchange volume. In other words, the extent to which Bitcoin, which is recovered and likely to be returned to creditors, will affect the market will depend on the transaction volume during the payment period.
Bitcoin is at the level of 23 thousand dollars as of 13:05. Payments to creditors will begin at the end of August.
Follow Bitcoin, altcoin, crypto money news, last minute developments and current articles from Coinactual.com.