Arrested MtGox founder can become multimillionaire

Mark Karpeles can become very rich again due to the fact of Bitcoin price jump
10 November

The founder of the MtGox exchange, Mark Karpeles, against whom the lawsuit on charges of embezzlement is underway, can take advantage of the rise in the price of bitcoin to make a huge profit. This is reported by The Wall Street Journal.

Monetary claims of the creditors of the closed Japanese exchange MtGox are based on the price of bitcoin in relation to the yen as of April 2014 (50,058 yen per bitcoin). MtGox, in turn, belongs to a company controlled by the former head of the exchange Mark Karpeles. At the disposal of Karpeles is 200,000 bitcoins (assets of the bankrupt exchange), the price of which has increased 17 times since that time (836,761 yen for bitcoin).

The bankruptcy proceedings of the MtGox exchange show that millions of dollars will remain at the disposal of former shareholders after the financial claims of creditors are satisfied.

Carpels himself denies his guilt in a criminal offense and does not believe that he will be able to save even part of the money. He believes that it will be difficult for him to find a buyer. In addition, he stressed, assets after bankruptcy are usually sold at their value at the time when the company announced insolvency.

The current situation indicates that the existing regulatory framework is not designed to resolve disputes in the bankruptcy of cryptocurrency exchanges. Many creditors would like to return their money in bitcoin-equivalent, but the Japanese legislation in this context does not provide for ownership of an unphysical object.

Israel will reveal the status of cryptocurrencies in the next six months

Now in Israel people should make their decision on Bitcoin and it will be claimed soon
20 November

 

Israeli Ministry of Finance announced they will do some research on Bitcoin and cryptocurrency together with accounting firms.

This decision came from meeting initiated by Finance Minister Moshe Kahlon. At the meeting they realized Israel wasn’t prepared to accept cryptocurrency.

We are leading this with the minister and very happy to see he is all for it. The committees will begin their operations very fast. In my opinion, we will see results on the ground in up to six months.

 

Moshe Hogeg, Israeli serial entrepreneur.

The situation with uncertainty on Bitcoin mentioned above created a lot of trouble for businessmen and users on cryptocurrency.

For example, in June Tel Aviv district court announced that banks may reject Bitcoin ventures because of the inability to verify the KYC and AML. Also Israeli Tax Authority decided that if Bitcoin is not a legal currency, the sales of BTC will hurt adoption.

Although not everyone supports the recommendations of researchers. In Israel there is at least one high-ranking placeman who is convinced in pernicious impact of cryptocurrencies for economy and many share his view.

The Head of Israel Securities Authority (ISA) expressed his opinion that Bitcoin and ICOs should be strongly regulated. ISA instituted its own committee to assess regulations on Bitcoin and other cryptocurrencies.