Mark Karpeles, the CEO of failed bitcoin exchange Mt Gox, has been charged with embezzlement by Japanese prosecutors.

Reports suggest Karpeles remains in the custody of Japanese police but has the option to request his release from the court while he awaits trial.

The news comes after Karpeles was re-arrested in Tokyo at the end of August on allegations that he had embezzled ¥321m ($2.6m) from the company to fund his own personal projects.

Karpeles was first arrested in Tokyo on 1st August amid allegations that he had manipulated volume on the now defunct bitcoin exchange.

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