Mt. Gox collapse (2014)
Mt. Gox, the Tokyo exchange handling most of the world's Bitcoin trades, filed for bankruptcy in February 2014 after hundreds of thousands of Bitcoins vanished. CEO Mark Karpelès was later arrested over the disappearance of customer funds.
The exchange collapsed within weeks, leaving customers with nearly worthless bankruptcy claims that dragged on for years.
Creditor repayments, in Bitcoin and cash, finally began in 2024, more than a decade after the collapse, as Bitcoin's price had soared.
Mt. Gox showed how an exchange shutdown can destroy customer value through theft and mismanagement. BitMEX's wind-down is voluntary, with the company saying assets exceed liabilities.
