Former Mt. Gox CEO to Unveil New Crypto Exchange EllipX This September

Former Mt. Gox CEO Mark Karpeles is set to launch his new cryptocurrency exchange, EllipX, in late September.?

The platform, which will be launched in Europe with its headquarters in Poland, is designed to prioritize transparency and user-friendliness.

EllipX Will Focus on Transparency and Comply With the EU’s MiCA Framework

In an interview with The Block during Korea Blockchain Week on September 3, Karpeles announced plans to launch a new cryptocurrency platform, EllipX, later this month in Poland.

Speaker Announcement ?

We're thrilled to announce that Mark Karpeles @MagicalTux, CTO at @EllipXCrypto, Former CEO of Mt. Gox, and Minister of Technology for @joseon will be speaking at #KBW2024: IMPACT! pic.twitter.com/fWALPUj4D0

— #KBW2024 (@kbwofficial) August 26, 2024

He revealed that the platform will operate with a framework similar to that of the New York Stock Exchange, but specifically for cryptocurrencies.

The former Mt.Gox CEO explained that EllipX will prioritize transparency by “compartmentalizing” different departments, including customer interactions, trading operations, and storage of crypto and fiat, to maintain integrity and security.

The platform is designed to comply with the European Union’s Markets in Crypto-Assets (MiCA) regulatory framework, which governs crypto-assets, including stablecoins, across the EU. This compliance is a key part of Karpeles’ strategy to ensure EllipX operates within a clear and regulated environment.

Karpeles’ focus on transparency is a direct response to the lessons he learned from the Mt. Gox incident in 2014, where the Tokyo-based cryptocurrency exchange lost hundreds of thousands of Bitcoins due to a hack, leading to its bankruptcy.

I've been watching how things evolved after MtGox's collapse while dealing with the case itself, and while some things have changed unrecognizably, there is still a lot of work needed to make cryptocurrencies safe, easy, and useful for everyone. Now that the MtGox distribution…

— Mark Karpelès (@MagicalTux) August 30, 2024

The experience has shaped Karpeles’ approach to EllipX, where he plans to share technical data with customers and disclose third-party audits for each entity within the platform, ensuring a fully transparent operation.

Recall that Mt. Gox, once responsible for over 70% of Bitcoin transactions globally, declared bankruptcy in 2014 at the Tokyo District Court after suffering a hack.

The exchange was ordered to liquidate, and since then, efforts to repay creditors have been ongoing, becoming the subject of lawsuits and speculation for years.

The fallout from this incident has continued to influence the cryptocurrency industry, and Karpeles is keen to apply the hard-earned lessons from that period to his new venture, EllipX, in an effort to rebuild trust and credibility in the crypto space.

EllipX Launches With MtGoxNFT Airdrop and Fee Discounts, Aiming to Rebuild Trust

EllipX is set to debut new features such as the MtGoxNFT airdrop, which offers free NFTs to users who had accounts on Mt. Gox between 2010 and 2014.

These MtGoxNFTs are not mere collectibles; they come with practical benefits, including reduced trading fees on the EllipX platform. This initiative is designed to attract former Mt. Gox users by providing them with financial incentives and rekindling their confidence in the crypto ecosystem.

The platform aims to restore trust among the affected community and the broader crypto audience by providing free NFTs and trading fee discounts.

Despite these efforts, Karpeles’ return to the crypto world will likely be scrutinized, given his association with the Mt. Gox collapse and the long-standing impact it has had on its users.

“I still have more scamming to do.” https://t.co/yoc381uqjt

— ????????TERRENCE | Hedge Bitcoin: @bitcoin4harris (@TYonClubhouse) August 30, 2024

Many in the crypto community remain wary due to the unresolved issues and ongoing lawsuits related to the Mt. Gox hack, which left thousands with substantial financial losses.