Failed bitcoin exchange Mt Gox allowed to file for Chapter 15 bankruptcy

http://www.rawstory.com/rs/2014/06/17/failed-bitcoin-exchange-mt-gox-allowed-to-file-for-chapter-15-bankruptcy/



Failed bitcoin exchange Mt Gox allowed to file for Chapter 15 bankruptcy
By Reuters
Tuesday, June 17, 2014 18:01 EDT
By Tom Hals

(Reuters) – The failed Tokyo-based bitcoin exchange, Mt Gox, received court approval on Tuesday to begin Chapter 15 bankruptcy proceedings in the United States as it awaits approval of a settlement with U.S. customers and a sale of its business.

Mt Gox was once the world’s leading exchange for trading the digital currency, but shut its website earlier this year after saying it lost some 850,000 bitcoins – worth more than $500 million at current prices – in a hacking attack.

It subsequently said it found 200,000 bitcoins.

The company filed for Chapter 15 bankruptcy protection in March to prevent U.S. customers who had filed a class action lawsuit from seizing its U.S. assets, such as computer servers, and demanding evidence and access to Mt Gox executives.