Post
Topic
Board Bitcoin Discussion
Re: Mt Gox Upcoming release of funds to its creditors vs Btc Price
by
dragonvslinux
on 13/08/2022, 13:38:51 UTC
There is this report by BRL; https://twitter.com/lab_blockchain/status/1557330341139972104
There were 22,560 creditors share total claims of $17 billion with an average claim of ~39btc. Do you think they are going to hold it ?

Well somethings not quite right here, as we're talking about 140K bitcoin that's worth $3.4 billion as of typing, not $17 billion. Unless $10b+ has already been claimed as part of the earlier payout scheme? There are so many unanswered questions about this case; Have creditors already received their cash settlement for those who chose this option? How many actually opted (sort of gambled) to wait for their Bitcoin in the hope it would be slightly more than the cash settlement, and is it?

One thing for sure is that 140K is a lot of coins, but is only around 10% of daily volume, which in contrast sounds like nothing. The selling can be absorbed a lot easier than most would expect, as long as there are buyers waiting to buy, as opposed to speculators shorting the price. Even if all the coins were sold on the same day, we're talking about an extra 10% of volume, so might only lead to a 10% dip in reality if price remains relatively neutral up until that point. If price starts breaking above $25K towards $30K with high volume, any creditors selling could become barely noticeable, depending on market sentiment.

This is no longer the extra 850K liquidity disaster that could of happened, it's now only around 0.66% increase in available circulating supply.