Yesterday we reported that the embattled MtGox bitcoin exchange was back in the news with its founder Mark Karpeles refusing to appear before a hearing in the US, deciding to stay put in Japan.
The exchange had originally intended on filing for bankruptcy but this morning has announced that it will instead go for a liquidation filing, citing a “lack of realistic rehabilitation plans”, as reported by the.
The exchange also noted that it was experiencing difficulties in meeting with its creditors.
For creditors in bankruptcy cases, a switch to liquidation usually means they will recoup less of their investment. But one person close to Mt. Gox said there was still hope a buyer for the exchange could be found, an outcome that could mean creditors receive part of any future earnings.
MtGox is hoping to find a buyer for the exchange with a number of names swirling around the rumor mill, such as Clearstone Venture Partners, a California-based venture capital firm.