Mt Gox Payouts Won’t Disrupt Bitcoin Value: UBS Strategists
• UBS strategists believe that the upcoming Mt Gox payouts will have minimal impact on the value of Bitcoin.
• Creditors have until March 10 to choose a repayment scheme and payments are expected to occur around September 2023.
• There is still potential for fluctuations in Bitcoin’s value as 142,000 BTC, 69 billion Japanese Yen, and 142,000 Bitcoin Cash are distributed.
UBS Strategists Predict Minimal Impact on Bitcoin Value
A recent report published by market strategists from investment bank UBS states that the upcoming Mt Gox payouts won’t destabilize bitcoin’s value. The payout consists of 142,000 bitcoin (BTC), worth over $3.36 billion using current exchange rates, as well as 142,000 bitcoin cash (BCH) worth over $19 million and $510 million or 69 billion Japanese yen worth of cash. Creditors have until March 10 to choose a repayment scheme and payments are expected to occur around September 2023.
UBS Market Strategists Believe Mt Gox Payouts Won’t Destabilize Bitcoin’s Value
UBS market strategists believe that there is cause for concern over the upcoming Mt Gox distribution but also suggest it may be somewhat overhyped regarding its effect on bitcoin’s price. They point out that while new supply could come to the market, it would be less concentrated than originally thought. Creditors can choose between an early lump sum payment or wait for further proceedings and additional asset recoveries with their funds being paid out in either fiat or crypto currency.
KYC/AML Information Required for Crypto Repayment Option
Users looking to receive their funds in crypto must sign up for a centralized crypto exchange which requires them to submit basic KYC/AML information before they can proceed with the repayment option.
Potential Fluctuations Amid Disbursement of Mt Gox Funds
The UBS strategists noted that there is still potential for fluctuations in Bitcoin’s value amid this disbursement of funds from Mt Gox though they feel it may not be significant given what they call a „retail-led — Bitcoin’s surprising resilience of late“.
Though caution should be exercised when investing in cryptocurrency markets due to volatility associated with them, UBS market strategists claim that the upcoming Mt Gox payouts won’t destabilize bitcoin’s value significantly due largely to its dispersed nature rather than one big hit all at once.