Sale of Mt. Gox-related Bitcoins.com halted after court order

Mt. Gox CEO Karpeles said he is looking into other options for the sale

The sale of the domain Bitcoins.com, affiliated with Mt. Gox CEO Mark Karpeles, has been halted after a U.S. court order, according to the auction house.

"This lot has been withdrawn from this auction. Bids are no longer accepted and previous bids are cancelled," U.S.-based Heritage Auctions wrote on its website.

The move follows a restraining order issued Tuesday by the U.S. District Court for the Western District of Washington at Seattle that effectively prevented the sale.

Responding to a motion by Bitcoin startup company CoinLab, the court ordered Mt. Gox parent company Tibanne, which is led by Karpeles and owns Bitcoins.com, to preserve and account for all its assets. The duration of the restraining order is 14 days.

CoinLab sued Mt. Gox in May 2013, alleging breach of contract over a partnership the two companies had formed. Mt. Gox later countersued CoinLab.

Tokyo-based Tibanne has been in the spotlight recently because of the failure in February of Mt. Gox, once the world's largest platform for trading bitcoins. It has been under a liquidation order by the Tokyo District Court, where it filed for bankruptcy on Feb. 28 with liabilities of ¥6.5 billion (US$63.6 million).

"The sale of Bitcoins.com was done with the approval of the bankruptcy court," Karpeles wrote in an email in response to the move by Heritage Auctions. "We are currently looking into options."

Selling Bitcoins.com, a site that provided information about the digital currency, was slated for July 24, and expected to raise up to $750,000. The funds were expected to provide some relief to investors who lost bitcoins in the Mt. Gox collapse.

At a meeting for Mt. Gox creditors in Tokyo on Wednesday, bankruptcy trustee Nobuaki Kobayashi said he is looking for a company that could take over Mt. Gox.

"I do sincerely hope a sponsor will be taking over -- that would be the best for all creditors," Karpeles wrote in an email Wednesday. "Myself and Tibanne will be doing our best to make this possible and overall work toward recovering more funds and Bitcoins."

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags internetInternet-based applications and servicesMt. Gox

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Tim Hornyak

IDG News Service
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?