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More than a decade after Mt. Gox collapsed following one of the most infamous hacks in crypto history, repayments to its creditors are still ongoing — and delayed once again. The rehabilitation trustee overseeing the process has extended the deadline to October 31, 2026, marking yet another chapter in the long recovery of the world’s once-largest Bitcoin exchange.
According to a notice released by court-appointed trustee Nobuaki Kobayashi, the delay was necessary because several creditors have not yet completed required verification procedures, while others encountered technical or compliance issues during repayment. The Tokyo court has approved the extension, giving the trustee additional time to complete all pending transactions.
So far, around 19,500 creditors have received a portion of their funds, but many are still waiting to recover Bitcoin they lost in 2014.
What Happened to Mt. Gox?
Founded in Tokyo in 2010, Mt. Gox (short for Magic: The Gathering Online Exchange) started as a trading platform for fantasy card game enthusiasts before pivoting to cryptocurrency. By 2013, it dominated the Bitcoin market, handling nearly 70% of all BTC trades globally.
At its peak, Mt. Gox saw daily transactions ranging from $5 million to $20 million, making it the backbone of Bitcoin liquidity in the early years. But behind the scenes, vulnerabilities in the platform’s system — and in Bitcoin’s transaction structure at the time — were being exploited.
In early 2014, Mt. Gox suddenly suspended withdrawals, later revealing that approximately 850,000 Bitcoin had been stolen over several years. The root cause was a flaw known as “transaction malleability”, which allowed hackers to manipulate transaction IDs and trick the exchange’s system.
At the time of the breach, the stolen Bitcoin was worth about $475 million. At today’s valuation, the same amount would be worth more than $97 billion.
Bankruptcy and Legal Fallout
The massive loss forced Mt. Gox to file for bankruptcy in Japan in February 2014. The exchange listed liabilities of $64 million against assets worth only $38 million. Around 127,000 creditors were affected worldwide, with only a small fraction based in Japan.
Mt. Gox’s partner, CoinLab, also sued the exchange for breach of contract, further complicating the bankruptcy process. Meanwhile, U.S. authorities seized $5 million in Mt. Gox assets for allegedly failing to register as a “money transmitting business.”
Former CEO Mark Karpeles became the public face of the scandal, facing charges related to embezzlement and data manipulation. He later received a suspended sentence in Japan.
The Long Road to Bitcoin Repayments
Years of investigations and court proceedings followed. In 2023, the U.S. Department of Justice charged two Russian nationals with laundering over 647,000 stolen Bitcoin from Mt. Gox. That same year, authorities managed to recover 140,000 BTC—worth roughly $16 billion at current prices—providing a foundation for creditor repayments.
Repayments began in mid-2024. Creditors were given the option to receive their refunds in Bitcoin (BTC) and Bitcoin Cash (BCH). However, the process proved slow and complex due to international compliance regulations and identity verification procedures.
Trustee Kobayashi stated that his team was working to ensure “safe and reliable repayment” to creditors across multiple jurisdictions. The first wave of repayments in 2024 triggered a notable sell-off in Bitcoin, as many early investors opted to cash out their long-awaited holdings, causing short-term market pressure.
Why Repayments Were Delayed Again
The latest extension pushes the repayment deadline from October 2025 to October 2026. According to Kobayashi, the decision reflects both logistical and regulatory challenges. Some creditors failed to submit proper documentation, while others faced restrictions from local exchanges or custodians.
As of late October 2025, data from Arkham Intelligence shows that Mt. Gox still holds 34,689 BTC, valued at around $4 billion. These funds are earmarked for future creditor repayments.
The extended timeline means the remaining Bitcoin will likely stay locked for another year, delaying potential selling pressure on the broader market — a silver lining for some investors concerned about large-scale sell-offs.
What Comes Next for Mt. Gox Creditors
If all goes as planned, the next phase of repayments should be completed by late 2026. However, given the exchange’s long and troubled history, many creditors remain skeptical.
Still, Mt. Gox’s eventual completion of repayments will mark one of the largest recoveries in crypto history — a symbolic closure to a saga that reshaped the industry’s approach to security, regulation, and exchange transparency.
