Progress has been made in the restitution process for the bankrupt Mt. Gox cryptocurrency exchange, with reimbursements in Bitcoin (BTC) and Bitcoin Cash (BCH) set to commence. Acting as the trustee for the defunct exchange, Mt. Gox has been in communication with creditors to verify their identities and ensure the activation of their accounts.

Several creditors have reported receiving emails confirming the successful completion of identity verification. These emails, circulating on Reddit since January 22, informed recipients about the start of restitution payments in BTC/BCH, contingent upon the user's subscription to the agency receipt. Additionally, the email outlined potential hurdles for repayment, such as account disablement or freezing.

While confirmation emails were reportedly received by some members of the Bitstamp crypto exchange, only a few from Kraken acknowledged receipt. Nevertheless, it is anticipated that the distribution of Mt. Gox BTC will commence within the next two months, ahead of the April 2024 halving event, which will reduce the annual supply by 160,000 BTC.

Despite ceasing operations in certain countries, several exchanges participating in the repayment process reaffirmed their dedication to serving Mt. Gox creditors. For instance, although Bitstamp suspended operations in Canada as of January 4, 2024, the exchange committed to maintaining local accounts involved in the Mt. Gox settlement, albeit with limited access restricted to withdrawal functions.

These emails from Mt. Gox follow the initiation of bank account reimbursements that commenced in late December 2023. Mt. Gox, established in 2010, was once the largest Bitcoin exchange, handling approximately 70% of BTC transactions. However, following a significant hack in 2014 resulting in the loss of 850,000 BTC, it swiftly became one of the largest crypto bankruptcies. It is projected that by October 2024, Mt. Gox will have repaid its creditors with 142,000 Bitcoin, 143,000 Bitcoin Cash, and $510 million (approximately 69 billion Japanese yen).