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MtGox

  • 04-10-2020 8:58pm
    #1
    Registered Users Posts: 474 ✭✭ Green Mile


    I bought 7 bitcoins for €4.5k with MtGox, the most reputable exchange at the time.
    Anyone else have bitcoins with MtGox and have their bitcoins locked-in with the court proceedings?

    I’ve been dipping into updates issued by the liquidator a while now and while there has been court dates extensions after extensions, it kinda feels it’s nearing a resolution after all this time.

    The liquidator offered the option to receive whatever proceeds in euro or in bitcoin. I’ve opened a Kraken account and selected to receive whatever is left of bitcoins to to that account.

    I believe when all settles. I’ll get some of the forks too?

    Would love to read replies from other people in a similar situation.


«1

Comments

  • Registered Users Posts: 11,195 ✭✭✭✭ Lex Luthor


    so about 150,000 -200,000 to be returned approx depending on what you read

    which is about 20% ish of what was hacked

    how do we think this will affect the market?


  • Registered Users Posts: 474 ✭✭ Green Mile


    Lex Luthor wrote: »
    so about 150,000 -200,000 to be returned approx depending on what you read

    which is about 20% ish of what was hacked

    how do we think this will affect the market?

    It’s a good question, there’ll be an influx of sellers all of a sudden, reducing the market price. Or perhaps the current market is priced taking this into consideration already.

    There’s meant to be an announcement tomorrow, it could be another extension date.


  • Registered Users Posts: 11,195 ✭✭✭✭ Lex Luthor


    Over $1,000,000 in Bitcoin was just transferred out of a Mt. Gox cold wallet


  • Registered Users Posts: 474 ✭✭ Green Mile


    Looks like another deadline extension


  • Registered Users Posts: 474 ✭✭ Green Mile


    Rather frustrating waiting all this time


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  • Registered Users Posts: 474 ✭✭ Green Mile


    According to the draft distribution plan, it seems the value of the payout will be set as 749,318.83 Yen per BTC regardless of the current market price.

    Am I correct, that there will ll be approx 5,700 per BTC paid out or is the payout a fraction of this? More like 20% of the 5.7k?

    Just trying to figure out what may be due if I have 6.9 BTC with MtGox. I’m probably not understanding it properly.

    I know there is s Bitcoin cash too but I am not too worried about that.


  • Registered Users Posts: 37,372 ✭✭✭✭ Mellor


    Here’s a calculator.
    https://blog.wizsec.jp/2021/02/mtgox-claim-calculator.html?m=1#calculator


    Looks like a €50k/$60K payout.


  • Registered Users Posts: 474 ✭✭ Green Mile


    Mellor wrote: »
    Here’s a calculator.
    https://blog.wizsec.jp/2021/02/mtgox-claim-calculator.html?m=1#calculator


    Looks like a €50k/$60K payout.

    That’s brilliant, I’m so glad I asked.

    Step 4: Choice of Early Lump-Sum Payment or Final Payment. I don’t remember having a choice. I wonder if this is part of the voting that is due in March 2021?


  • Registered Users Posts: 37,372 ✭✭✭✭ Mellor


    Green Mile wrote: »
    That’s brilliant, I’m so glad I asked.

    Step 4: Choice of Early Lump-Sum Payment or Final Payment. I don’t remember having a choice. I wonder if this is part of the voting that is due in March 2021?

    I’m only going off the calculator and what the reported agreed figure is. I don’t know if that is bone fide or whatever. But it’s certainly good news. I hope it works out for you.

    I’d imagine step 4 is upcoming. The final payout will likely be higher. But who knows how much longer it will take to finalise. Besides the early payout if reinvested will likely be worth much more by then too.


  • Closed Accounts Posts: 161 ✭✭ JibJabWibWab


    Green Mile wrote: »
    That’s brilliant, I’m so glad I asked.

    Step 4: Choice of Early Lump-Sum Payment or Final Payment. I don’t remember having a choice. I wonder if this is part of the voting that is due in March 2021?

    It's great news that you're getting something back after so long, but it would sicken me that after all the effort, time and stress, Revenue will now come looking for their pound of flesh (at least 33%).

    If the payout was in the form of BTC there would be no taxable event until you decide to convert it into cash...


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  • Registered Users Posts: 37,372 ✭✭✭✭ Mellor


    If the payout was in the form of BTC there would be no taxable event until you decide to convert it into cash...
    A crypto trade is a taxable event. Nothing to do with converting it back to cash. Whether the gain is in Crypto or in cash is irrelevant.

    In this case, it could argue as it's the process of compensation, not it's not capital gains.


  • Closed Accounts Posts: 161 ✭✭ JibJabWibWab


    Mellor wrote: »
    A crypto trade is a taxable event. Nothing to do with converting it back to cash. Whether the gain is in Crypto or in cash is irrelevant.

    In this case, it could argue as it's the process of compensation, not it's not capital gains.

    If the payout was in the form of BTC there would be no taxable event. Period.

    Good luck with arguing that the payout is compensation, rather than a gain.
    OP is getting paid a discounted rate for BTC he already owned, and that rate is way higher than the price they paid for the BTC.


  • Registered Users Posts: 37,372 ✭✭✭✭ Mellor


    If the payout was in the form of BTC there would be no taxable event. Period.
    On what basis would being paid in BTC make a difference.
    Currency has no impact on CGT. It's either taxable or it's not.

    Good luck with arguing that the payout is compensation, rather than a gain.OP is getting paid a discounted rate for BTC he already owned, and that rate is way higher than the price they paid for the BTC.
    I know it's a long shot. But it's literally the proceeds of legal proceedings.
    I don't think revenue can pretend his claim of the remaining assets were guaranteed and appreciating for the last 7 years.


  • Closed Accounts Posts: 161 ✭✭ JibJabWibWab


    Mellor wrote: »
    On what basis would being paid in BTC make a difference.
    Currency has no impact on CGT. It's either taxable or it's not.

    If the payout was in BTC he could reasonably say he was just getting back some of the BTC he already owned.
    There would be no taxable event until he sold or traded the BTC.
    Mellor wrote: »
    I know it's a long shot. But it's literally the proceeds of legal proceedings.
    I don't think revenue can pretend his claim of the remaining assets were guaranteed and appreciating for the last 7 years.

    It's not the proceeds of legal proceedings.
    It's the proceeds of a liquidation. OP is a creditor.

    I have no idea where you're getting the 7 years thing from. The payout is happening now.


  • Registered Users Posts: 37,372 ✭✭✭✭ Mellor


    If the payout was in BTC he could reasonably say he was just getting back some of the BTC he already owned.
    There would be no taxable event until he sold or traded the BTC.
    I doubt it would hold up as it was out if his possession. As I said, currency has no bearing in CGT.
    It's not the proceeds of legal proceedings.
    It's the proceeds of a liquidation. OP is a creditor.
    Bankruptcy is legal process in itself.

    It’s looking like a good result. But I don’t think it should be treated the same as somebody who just held on for years with BTC in cold storage. Maybe revenue don’t care. But I think OP should consider it.
    I have no idea where you're getting the 7 years thing from. The payout is happening now.
    The 7 years part isn’t complicated.
    2014 was 7 years ago.


  • Registered Users Posts: 474 ✭✭ Green Mile


    To be honest, after all this time, I’d be happy to get back what I put in.

    I did opt to receive it in BTC, plan is to hold it.


  • Registered Users Posts: 474 ✭✭ Green Mile


    Looks like there is an end in sight end of this year (October) hopefully.

    Status of creditors meeting image below.


  • Registered Users Posts: 3,626 ✭✭✭ One More Toy


    What's the best we can hope for here? Restitution early 2022?


  • Registered Users Posts: 474 ✭✭ Green Mile


    What's the best we can hope for here? Restitution early 2022?

    Voting system for creditors is now live, have you voted?

    I think you’re right, early 2022 would be earliest at best.


  • Registered Users Posts: 3,626 ✭✭✭ One More Toy


    Green Mile wrote: »
    Voting system for creditors is now live, have you voted?

    I think you’re right, early 2022 would be earliest at best.

    Got the email, didn't vote yet because I'll have to dig out an old phone with the 2FA code on it but will tonight


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  • Registered Users Posts: 3,626 ✭✭✭ One More Toy


    Got the email, didn't vote yet because I'll have to dig out an old phone with the 2FA code on it but will tonight

    Dug it out, voted in favour of the plan.

    Hopefully a nice Yen cheque come 2022


  • Registered Users Posts: 1,427 ✭✭✭ magic_murph


    I bought BTC many years back and was stored on MTGox - not exactly sure what I had but think 3-4k.

    Is there anything specific I need to do
    I just found this article so will follow the voting and sign up steps - I didn't realise this case was still pending and just assumed it was done with

    https://www.coindesk.com/voting-proposal-reimburse-mt-gox-victims-begins-today


  • Registered Users Posts: 1,138 ✭✭✭ Del Griffith


    I bought BTC many years back and was stored on MTGox - not exactly sure what I had but think 3-4k.

    Is there anything specific I need to do
    I just found this article so will follow the voting and sign up steps - I didn't realise this case was still pending and just assumed it was done with

    https://www.coindesk.com/voting-proposal-reimburse-mt-gox-victims-begins-today

    If you haven't submitted a claim it's very unlikely you will be able to get a claim in now.


  • Registered Users Posts: 1,427 ✭✭✭ magic_murph


    Thanks - there appears to be an offline form available. Granted that doesn't mean it will get approved but sure no harm sending a letter out into the either and seeing what happens.


  • Registered Users Posts: 474 ✭✭ Green Mile


    There are new documents issued today. Again a lot of legal jargon that my small brain can't fully grasp 😵

    My creditor number starts with an "X" so I don't think there's action to take? At least not yet.


    Might see something when BTC drops to €0.01 in the far future.😅



  • Registered Users Posts: 3,626 ✭✭✭ One More Toy


    https://www.coindesk.com/business/2021/10/20/mt-gox-rehabilitation-plan-worth-billions-in-compensation-approved-finalization-to-follow/



  • Registered Users Posts: 474 ✭✭ Green Mile


    Could see something within the first quarter of 2022



  • Registered Users Posts: 3,626 ✭✭✭ One More Toy


    How are they going to pay out? The claim is in JPY



  • Registered Users Posts: 474 ✭✭ Green Mile


    I wish things would just move on. Last update was 14/02/2022.

    It's like they're waiting for creditors to just die off



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  • Registered Users Posts: 3,626 ✭✭✭ One More Toy


    Anyone have a look at the latest documents?



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