Mt. Gox Sends $700M Worth of Bitcoin to Bitstamp as Creditors Receive Funds

Mt. Gox, the long-defunct cryptocurrency exchange, transferred a whopping $709.44 million worth of Bitcoin to the Bitstamp exchange

Bankrupt cryptocurrency exchange Mt. Gox has transferred 6,446.44 BTC ($709.44 million) to Bitstamp, data from cryptocurrency analytics platform Lookonchain shows.

Last month, Mt. Gox creditors started receiving their long-awaited funds on BitGo, Bitstamp, Kraken and several other exchanges.

The exchange, which famously went bankrupt in 2014 after a major hack, began making repayments in Bitcoin and Bitcoin Cash in early July. The news triggered a sell-off in Bitcoin.

However, the bearish impact of the Mt. Gox repayments may have been overstated. According to a poll conducted on the r/mtgoxinsolvency subreddit, more than half of the creditors have no plans to sell their coins immediately. Only about 14% of the poll respondents chose to liquidate their holdings.

That said, the results of the poll should be taken with a grain of salt. "Someone with 1 bitcoin selling 25-50% is way different to someone with 10,000 bitcoin selling 25%. You cannot take the results of this survey and calculate some % of bitcoin that will be sold and be anywhere near accurate unless you get lucky," one Redditor pointed out.

There is also more substantial data to support the claim that Mt. Gox creditors are not, in fact, selling Bitcoin en masse. As noted by CryptoQuant CEO Ki Young Ju, there was "no significant spike" in Bitcoin outflows on Kraken following Mt. Gox's transfer of funds to creditors in late July.

At press time, Bitcoin is trading at $59,379 after declining 2.6%, according to CoinGecko data.

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