Troubled Bitcoin exchange MtGox has received some welcome news as a Texas judge temporarily halted two US lawsuits, while bankruptcy proceedings continue in Japan.

In February, MtGox filed for bankruptcy protection in Tokyo and said it had an outstanding debt of $63m (£37m).

MtGox will return to court 1 April to attempt to extend the shielding of its asset's until the Japanese case is concluded. The company filed for chapter 15 protection on Sunday night.

Chief executive officer Mark Karpeles said in a sworn statement filed in the Dallas Court:

The facts known to date indicate that it was caused or related to a flaw in the software algorithm that underlies Bitcoin, and ‘hacking’ attacks of one or more persons.

What was formerly the world's largest Bitcoin exchange shut up shop in February after losing 744,408 Bitcoin – roughly six per cent of Bitcoin circulation – due to problems with the exchange's software.

