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Mt. Gox abandons rebuilding plans and files for liquidation: WSJ

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Mt. Gox, the embattled bitcoin exchange that filed for bankruptcy protection last month after losing almost half a billion dollars' worth of customers' virtual funds, is now reportedly asking a Tokyo court for permission to liquidate. According to The Wall Street Journal, the once leading exchange has abandoned its attempt to rebuild the business under bankruptcy protection due to the complexity and unrealistic nature of the plans.

One source says that Mt. Gox is still attempting to find a buyer, which may entitle creditors to a portion of future earnings. But the exchange's decision to file for liquidation after planning rehabilitation means those with substantial investments are likely to get less of their money back. The court still has to approve Mt. Gox's request, at which point a trustee would assume CEO Mark Karpeles' control over the company's assets.

Mt. Gox representatives were not immediately available for comment when contacted by The Verge.