June 22, 2018
(Updated on October 26, 2018)
To whom it may concern,
Civil Rehabilitation Debtor: MtGox Co., Ltd.
Civil Rehabilitation Trustee: Nobuaki Kobayashi, Attorney-at-law
Announcement of Commencement of Civil Rehabilitation Proceedings
As was announced on November 29, 2017, in the “Announcement Regarding Petition forCommencement of Civil Rehabilitation Proceedings Filed by Some of the Creditors”, some of thecreditors of MTGOX Co., Ltd. (‘‘MTGOX’’) filed a petition for commencement of civil rehabilitation
proceedings against MTGOX with the Tokyo District Court on November 24, 2017.
The petition was heard, and at 5:00 p.m. on June 22, 2018, the Tokyo District Court issued anorder of the commencement of civil rehabilitation proceedings for MTGOX. As a result, thepreviously ongoing bankruptcy proceedings were stayed. In addition, simultaneously with theorder of the commencement of civil rehabilitation proceedings, an administration order was issued
by the Tokyo District Court, and I have been appointed Civil Rehabilitation Trustee (In the Matter ofa Petition for Commencement of Civil Rehabilitation Proceedings, Tokyo District Court 2017 (sai) no.
35).
The power and authority to administer and dispose of MTGOX’s assets is still vested exclusively inme, and I will implement the civil rehabilitation proceedings, including the administration ofMTGOX’s assets and the investigation of claims, subject to the Tokyo District Court’s supervision.
I kindly ask for your understanding and cooperation in this matter.
The schedule going forward for the Civil Rehabilitation Proceedings is as follows:(1)

Meeting for reporting the status of property and submission deadline for a report underArticle 125 of the Civil Rehabilitation Act:
September 26, 2018(2)

Deadline for Filing proof of rehabilitation claims:
October 22, 2018(3)

Submission deadline for inventory of assets and balance sheets:
December 27, 2018
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(4)Submission deadline for statement of approval or disapproval:
January 24, 2019(5)

Period to examine Proofs of rehabilitation claims:
From January 31, 2019, to February 7, 2019(6)

Submission deadline for proposed rehabilitation plan:
February 14, 2019

*This schedule is subject to change as the civil rehabilitation proceedings progress.
*We plan to post detailed information such as the form of a proof of rehabilitation claims on thiswebsite: https://www.mtgox.com/.
Further, due to the stay of the bankruptcy proceedings, MTGOX bankruptcy claims filling system(the “System”), which was being provided on its website, has been temporarily suspended. As inthe bankruptcy proceedings, the Civil Rehabilitation Trustee is expected to accept the method offiling a proof of rehabilitation claim through the System in the Civil Rehabilitation Proceedings aswell. Therefore, please take note of your user name and password registered on the System.
For the inquiries on Commencement of Civil Rehabilitation Proceedings, please see theAttachment, “Answers to Frequently Asked Questions.”
In addition, the following call center has been set up for this matter. However, please note that,at this time, it is difficult to answer questions other than those explained in the Attachment.
Telephone number: +81-3-4588-3922
Operating hours: Monday through Friday, 10:00 a.m. to 5:00 p.m. (Japan time)*All inquiries should be made through the telephone number above. Please refrain frommaking inquiries to the Office of the Civil Rehabilitation Trustee, whether by email orotherwise, as it is difficult to respond to such inquiries.
You will be informed of any relevant information, where necessary, through the appropriate
channels, including this website.
I kindly ask for your continued understanding and cooperation in the civil rehabilitation
proceedings.
End of document

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Attachment
June 22, 2018
To whom it may concern:
Civil Rehabilitation Debtor: MtGox Co., Ltd.
Civil Rehabilitation Trustee: Nobuaki Kobayashi, Attorney-at-law
Answers to Frequently Asked Questions
As stated below, we would like to explain the current status of MtGox Co., Ltd. (“MTGOX”),
including proceedings going forward, to the extent possible.
As there remain matters to be determined by the court, among other parties, many answers to
the questions below are merely presumptions. We ask for your understanding in this regard.
We

plantopost

any

relevant

information

through

theMTGOX’swebsite(https://www.mtgox.com/).
I

Questions on Civil Rehabilitation Proceedings

Q1)

What is the difference between bankruptcy proceedings and civil rehabilitation
proceedings?

A1)

The main differences between the two are as follows:(1)

In bankruptcy proceedings, the power and authority to administer and disposeof the bankruptcy estate is exclusively vested in a bankruptcy trustee.
Conversely, in civil rehabilitation proceedings, in principle, the civilrehabilitation debtor retains the power and authority to administer and disposeof its assets. However, even in the case of civil rehabilitation proceedings, if an
administrative order is issued by the court, and a civil rehabilitation trustee isappointed, the power and authority to administer and dispose of the civil
rehabilitation debtor’s assets will be exclusively vested in the civil rehabilitation
trustee. In this civil rehabilitation proceedings, the Tokyo District Court has
issued an administrative order and has appointed me as Civil Rehabilitation
Trustee. Therefore, the power and authority to administer and dispose theCivil Rehabilitation Debtor’s assets is exclusively vested in me.

(2)

In bankruptcy proceedings, non-monetary claims are converted into monetaryclaims based on the valuation as at the time of the commencement ofbankruptcy proceedings.

In contrast, in civil rehabilitation proceedings,

non-monetary claims are not converted into monetary claims at the time ofcommencement of the civil rehabilitation proceedings. Therefore, in the civil
1rehabilitation proceedings in this matter, claims seeking a refund of Bitcoins(“Bitcoin Claims”) will also not be converted into monetary claims after thecommencement of the civil rehabilitation proceedings.

The amount of voting

rights of Bitcoin creditors for resolutions on the proposed rehabilitation plan isbased on the valuation of Bitcoins as at the time of commencement of the civil
rehabilitation proceedings.
(3)

In bankruptcy proceedings, bankruptcy claims that have not been filed are notstated in the statement of approval or disapproval of claims. In contrast, incivil rehabilitation proceedings, the rehabilitation debtor, etc. (if a trustee is notappointed, the rehabilitation debtor will act; if a rehabilitation trustee has beenappointed, as in this matter, the rehabilitation trustee will act; the same applies
below), will state the rehabilitation claims which the rehabilitation debtor, etc.,
is aware of in the statement of approval or disapproval of rehabilitation claims,
notwithstanding that proof of claims have not been filed for them.

(4)

In civil rehabilitation proceedings, the rehabilitation debtor, etc., will prepare arehabilitation plan, in which matters such as the content of any modifications ofrights of civil rehabilitation creditors and the payment plan are set out. This
type of plan does not exist under bankruptcy proceedings. The rehabilitation
debtor, etc., is required to obtain the court’s confirming order via arehabilitation creditors’ resolution on the proposed rehabilitation plan to makerepayments in accordance with the rehabilitation plan.

If the proposed

rehabilitation plan is rejected or not otherwise approved, the civil rehabilitation
proceedings in this matter will be discontinued and the bankruptcy proceedings
will be recommenced.
Q2)

What is the Civil Rehabilitation Trustee?

A2)

The civil rehabilitation trustee implements the civil rehabilitation proceedings, such as theadministration and disposition of assets, the investigation of claims, the submission of theproposed civil rehabilitation plan and the implementation of the civil rehabilitation plan.
The power and authority to administer and dispose of the civil rehabilitation debtor’s
assets is vested exclusively in the civil rehabilitation trustee.
In the civil rehabilitation proceedings in this matter, the Tokyo District Court issued anadministrative order and appointed me as Civil Rehabilitation Trustee of MTGOX.

Q3)What are the proceedings going forward?

A3)

I will implement the civil rehabilitation proceedings, such as the administration of assets
2and the investigation of the claims, under the supervision of the Tokyo District Court.
Q4)

What is an examiner?

A4)

An examiner examines matters specified by the court and reports the results of theexamination.
In this matter, the Tokyo District Court has already issued the examination order andHisashi Ito, attorney-at-law, has been appointed as the examiner.

Simultaneously withthe order of the commencement of civil rehabilitation proceedings for MTGOX, the Tokyo
District Court has ordered to amend the examination order where the matters to beexamined by the examiner were expanded.

Accordingly, the examiner will examine

the appropriateness of the proposed rehabilitation plan under the Civil Rehabilitation
Proceedings and matters requested by the court to report opinions concerning the Civil
Rehabilitation Proceedings, and provide the court with an opinion thereon.
Q5)

When will a creditors’ meeting be held?

A5)

A creditors’ meeting to report on the status of the rehabilitation debtor’s assets and so on
will be held on the date and at the venue below.
Date: September 26, 2018, 1:30 p.m.
Venue: Tokyo District Courtroom for Creditors’ Meeting No.1
(5F, Joint Government Building for the Domestic, Summary and District Courts)

Q6)

What is a proof of claim?

A6)

A proof of claim is a procedure under which those who have civil rehabilitation claims fileforms in which they report, among others, their names, addresses, amount of their claims,
and the amount of their voting rights in order to participate in the civil rehabilitation
proceedings.

Not all filed claims will be accepted; the civil rehabilitation trustee

investigates matters such as the existence and amount of the filed claim.
As in the bankruptcy proceedings, we plan to accept filling rehabilitation claims throughthe claim filing system in the civil rehabilitation proceedings.
We plan to post the information necessary to file proof of claims on this website. We
kindly ask you to await further information.
Q7)

Can I file a proof of claims for cryptocurrencies split from Bitcoin, such as Bitcoin Cash?

A7)

At this moment, we plan not to accept specific filing of cryptocurrencies other thanBitcoins. Instead, we plan to deem Bitcoin creditors who have filed a proof of claim for
Bitcoins have also filed a proof of claims for other cryptocurrencies proportionate to the3number of Bitcoins filed.

We will post the further detailed information on this website.

We kindly ask you to await further information.

Q8)

I have already filed a proof of claim in the bankruptcy proceedings.

Due to thecommencement of civil rehabilitation proceedings, do I have to re-file a proof of claim?
A8)

We apologize for the inconvenience, but, yes, we ask you to re-file your proof of claim. As
you will be notified on this website of the information necessary to file proof of claims,
we kindly ask you to await further information.

Q9)

Although I have not filed a proof of claim by the filing deadline for the bankruptcy
proceedings, can I file a proof of claim in the civil rehabilitation proceedings?

A9)

Those who have not filed proof of claims in the bankruptcy proceedings or who have filed
proof of claims after the filing period had passed (i.e., the date of the investigation ofclaims, May 25, 2016), may file proof of claims in the civil rehabilitation proceedings.
We plan to post further details on this website.

Q10)

Prior to commencement of the civil rehabilitation proceedings, I acquired a claim against
MTGOX from a third party. Which of the transferor or transferee is required to file a
proof of claim in the civil rehabilitation proceedings?

A10)

The transferee is required to file a proof of claim. Further, even if the transfer of a claim
was made after the bankruptcy proceedings had commenced and the transferor had
notified the bankruptcy trustee of the transfer of claim, the transferee of such claim isrequired to file a proof of claim in the civil rehabilitation proceedings again. We plan topost further details on this website.

Q11)

I would like to immediately file a self-prepared proof of claim. Where should I send itto?

A11)

As is mentioned above, the information necessary to file proof of claims will be posted on
this website at a later date. We kindly ask you to await its posting.
If creditors were to file their self-prepared forms, confusion may arise due to the forms
lacking certain necessary information required by law or inconsistencies in theinterpretation of the details on such forms. Further, in view of the large number ofcreditors in this matter, if such confusion arises regarding many creditors, the civil
rehabilitation proceedings could be significantly delayed, which could impair creditors’interests. We kindly ask that you await the information above to be provided to you.
4Q12)

I have not disclosed my name or address to MTGOX. Will the information on the proofof claim be sent to me?

A12)

MTGOX users who have not disclosed their names or addresses to MTGOX may not becontacted by the court or the Civil Rehabilitation Trustee. However, we plan to provide
the necessary information to the creditors on this website.
We kindly ask that you continuously and regularly check the website.

Q13)

What happens if I do not file a proof of claim?

A13)

It is possible that you will lose your rights if you do not file a proof of civil rehabilitation
claim. Please check the website continuously and regularly, and file your proof of claim,
which must be delivered by no later than Monday, October 22, 2018, the filing deadline
for rehabilitation claims.

IIQuestions on Measures to Secure Bankruptcy Creditors’ Interests

Q14)

Have the measures mentioned in the examination report dated February 28, 2018, that isthe “measures to secure the interests that are expected to have already been obtained by
all creditors who filed proofs of claims for the bankruptcy proceedings, especiallycreditors whose bankruptcy claims are monetary claims,” been taken?

A14)

Based on the consultation with the court and the examiner, the measures below weretaken with the court’s approval. We plan to explain the details to creditors at a later
date.
(1)

As a measure to secure a certain amount of interests that are expected to havealready been obtained by all creditors who filed proofs of claims for thebankruptcy proceedings, a certain amount of the bankruptcy estate’s Bitcoin
and Bitcoin cash was sold after the 10th creditors’ meeting in the bankruptcy
proceedings, and the bankruptcy estate secured a certain amount of cash.

(2)

In particular, as a measure to secure the interests of the bankruptcy creditors
whose bankruptcy claims are monetary claims, a trust with a certain amount ofcash of the bankruptcy estate as a trust assets has been established.

IIIQuestions on the Handling of Bitcoin, etc.

Q15)

How was the Bitcoin and Bitcoin Cash sold?

A15)

As in sales from December 2017 to February 2018, upon consultation with cryptocurrency
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transaction experts, Bitcoin and Bitcoin Cash were sold in a manner that had no effect onmarket price and not by ordinary sale on an exchange, while ensuring the security of thetransaction to the extent possible (please refer to the “Q&A regarding 10th Creditors’Meeting Report” dated March 17, 2018).
Q16)

Are there future plans to sell Bitcoins and Bitcoin cash?

A16)

At present, nothing has been determined regarding the sale of Bitcoin andcryptocurrencies split from Bitcoin (collectively, “Bitcoin, etc.”) in the future.

Q17)

Will the Bankruptcy Trustee pay off with Bitcoin, etc.?

A17)

Matters such as the method and timing of payment in the civil rehabilitation proceedings
will be determined in the rehabilitation plan established in the civil rehabilitation
proceedings. Therefore, please understand that specific answers cannot be given at thistime.

IVQuestions on Other Matters

Q18)

Will the Bitcoin exchange operated by MTGOX resume operations?

A18)

There are no plans to resume operations of the Bitcoin exchange operated by MTGOX atthis time.

Q19)

What will happen to MTGOX’s representative?

A19)

As the Tokyo District Court issued the administration order, MTGOX’s representative has
lost the right to administer and dispose of MTGOX’s assets.

Q20)

Can I speak directly with the Civil Rehabilitation Trustee?

A20)

As many interested parties are involved in the matter, please refrain from directly
contacting the Civil Rehabilitation Trustee, and contact the call center with any questions
you may have. However, please kindly note, at the moment, the call center is also
unable to answer questions other than those in this FAQ.
End of document

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