Bitcoin traders agree to settlement in Mt. Gox class-action suit

 Plaintiffs in two class-action suits charging the embattled Bitcoin exchange Mt. Gox with fraud have agreed to a settlement, and new plans to revive the exchange have been drafted.

Earlier this year a class-action suit in Illinois was filed against Mt. Gox, following reports revealing the theft of some 850,000 bitcoins -- worth hundreds of millions of dollars -- due to a hacking attack. The exchange subsequently filed for liquidation with a Japanese court.

Now, under a settlement agreement, Mt. Gox will be reorganized rather than liquidated, and a portion of the lost bitcoins will be returned, according to a court document filed Monday night in the U.S. District Court for the Northern District of Illinois. A similar class settlement was also reached in Canada.