Markets
Bitcoin Price Impact and Market Reactions
After several transactions of over 91k Bitcoins (BTC) were observed earlier today, top-tier cryptocurrency exchange Kraken informed some users that it has received funds on behalf of Mt.Gox creditors. The cryptocurrency exchange noted that it will distribute the funds to creditors as determined by the trustee, Mt.Gox.
“We have successfully received creditor funds (BTC and BCH) from the Mt.Gox administrator. While we will work to distribute the funds as quickly as possible, please anticipate 7-15 days for the funds to be credited to your account,” Kraken’s email reads.
Impact of Mt.Gox Fund Distribution on Cryptocurrency Industry
The distribution of $9 billion in Bitcoin to Mt.Gox creditors will notably impact the crypto industry in the coming weeks. On the one hand, Mt.Gox’s distribution of funds to trigger new FUD is similar to Bitcoin sales by the German government.
In that case, Bitcoin Price could continue the recent correction towards $50K before recovering. Furthermore, institutional investor demand for Bitcoin remains unabated.
On the other hand, Mt.Gox’s distribution of funds can be perceived as a positive move for the industry.
As the decade-long bankruptcy case concludes, the repayments of funds could increase the number of on-chain holders. Furthermore, creditors can easily hold funds for the next few years and benefit from the continued mainstream adoption of web3 and digital assets.
Read too: Mt. Gox Transfers 96,000 Bitcoin Worth $6 Billion: Arkham Intelligence Insights