The bankruptcy of the Mt. Gox cryptocurrency exchange in 2014 was a pivotal moment in cryptocurrency history. It demonstrated the vulnerabilities of early cryptocurrencies and saw the worst fears of the industry become a reality. However, in the years since it has also provided an excellent example of the successful tracing and recovery of a variety of asset classes. Creditors have recently received the first distributions from the recovered assets of Mt Gox, in stark contrast to the initial claims that access to the assets had been lost forever.
Background
On August 28, 2024, Judge Gregory B. Williams of the US District Court for the District of Delaware issued a ruling in AIG Financial Products Corporation, Civ. No. 23-573, affirming an order on appeal from the Delaware Bankruptcy Court that denied a motion to dismiss a chapter 11 petition as a bad faith filing.
In many of the recent insolvencies of digital asset companies, liquidators have been appointed over companies in which digital assets have been fraudulently transferred from wallets controlled by an insolvent company into other unidentified wallets in foreign jurisdictions.
The anonymity of cryptoassets causes serious difficulties for insolvency practitioners in identifying the third parties who received funds and the location of the digital wallets.
Preparing a business for an exit can be a complex and time-consuming task.
Gläubigerbenachteiligungsvorsatz bei der Vorsatzanfechtung im Rahmen von Grundstücksverkäufen (BGH, Urteil vom 22. Februar 2024 – IX ZR 226/20).
After years of hard-fought litigation, most claimants are thrilled to obtain a final and enforceable judgment or arbitration award. However, more often than one thinks, this excitement is followed by the disappointing realization that the defendant has little interest in voluntarily satisfying the award.
Manoj Pillay Sandrasegara, Smitha Menon, Lionel Leo and Stephanie Yeo, WongPartnership LLP
This is an extract from the 2025 edition of GRR's The Asia-Pacific Restructuring Review. The whole publication is available here.
MONTHLY NEWSLETTER SERIES AUGUST, 2024 | VOL. XV VAISH ASSOCIATES ADVOCATES LEGALAXY WWW.VAISHLAW.COM LEGAL MAXIM Volenti Non Fit Injuria: “No wrong is done to one who consents.” MONTHLY NEWSLETTER SERIES AUGUST, 2024 | VOL.
The Legal Statement applies areas of insolvency law to digital assets, providing valuable guidance on the approach English courts will take.
In the decision in Woodhouse, in the matter of Panoramic Resources Limited [2024] FCA 449, handed down this week (1 May 2024) by Feutrill J, the Federal Court of Australia considered the meaning of ‘Secured Property ‘as defined in a specific security deed and the extent to which phrases such as ‘…in respect of’ could expand the types of collateral the subject of that defined term (and hence the collateral the subject of the specific security d