- Thirty Interested Parties Have Submitted Proposals to Purchase Celsius Network’s Mining and Retail Assets.
- Galaxy Digital Holding Plans To Acquire Celsius’s GK8 Custody Platform
Thirty Potential buyers have expressed curiosity in the assets of the bankrupt crypto lender Celsius Network. These offers include the acquisition of its mining business and retail platform.
In response to the interest, the business has established a date of December 20 for prospective buyers to make a presentation. Subsequently, more than 125 matches have been recorded.In addition, 30 potential bidders have signed confidentiality agreements.
Celsius Network has reported receiving a range of offers containing potential business deals and agreements for the purchase of its assets. These include a haircut of assets to allow customers to join the acquirer’s platform.
Multiple Offers For Assets Coming Soon
Celsius Network also revealed that it has received multiple offers for a single asset. This has prevented customers from withdrawing money.Due to the May market crisis and insolvency in July 2022, the company filed for Chapter 11 bankruptcy.
Since September, Celsius has been trying to attract potential buyers for its mining and retail operations. Additionally, bidders from unknown locations have submitted bids, with all offers accepted by 30 bidders.
Based on previous records, the auction of assets belonging to different parties has been delayed. Initially this was scheduled for December 15 but has now been moved to January 10.
Celsius Network reported that it owned approximately $2.6 million worth of cryptocurrency. After accounting for non-crypto assets, $1.2 billion was still needed to settle all debts.
Despite this, Celsius Network claims its ongoing mining activities are profitable. The company has also achieved positive operating cash flow every month, despite adding more mining rigs this year.
Galaxy Digital Holding plans to buy the Celsius Network’s GK8 custody platform. Additionally, the company is set to sell $18 million worth of stablecoins with sales expected to continue until the end of the year.
Further, Celsius Network has been granted court approval to spend $2.8 million on employee incentives. This is part of the Key Employee Retention Program (KERP) designed to retain employees while the business continues.
Case Updates
In related news, bankruptcy judge Martin Glenn has allowed a motion filed by Celsius Network on September 1 to restart withdrawals for some customers on December 20. Assets held in the Escrow Program can be withdrawn, provided money was transferred to the bank before the company’s bankruptcy filing on July 13.
Additionally, the US bankruptcy judge presiding over the Celsius Network case ordered the cryptocurrency lender to return $50 million worth of cryptocurrency to its custodial account holders.
