Celsius Exits Bankruptcy, Plans $3B Distribution and Launches Bitcoin Mining Company
Summary:
Emerging from Chapter 11 bankruptcy, Celsius plans to distribute $3 billion in crypto and fiat to its US-based creditors. The cryptocurrency lending firm will also establish a Bitcoin mining company, Ionic Digital, managed by Hut 8. The firm's exit from bankruptcy comes after over 18 months since it paused withdrawals. This news is ongoing with more details to be added as it progresses.
Emerging from Chapter 11 bankruptcy, Celsius is positioned to start bestowing crypto and fiat worth $3 billion to its creditors in the US. On January 31st, the cryptocurrency loan firm announced via a press release that forming a Bitcoin mining business, Ionic Digital, Inc., is also a part of their plan, under the management of Hut 8, a known crypto mining entity. Hut 8’s Chief Commercial Officer, Matt Prusak, has been appointed the CEO of Ionic, and it's predicted their shares will go public upon receipt of necessary approvals. Moreover, Celsius has managed to raise the volume of crypto set for distribution to creditors by about $250 million, achieved by converting altcoins to Bitcoin or Ethereum and via previous agreements. The firm's resolution of bankruptcy is observed more than 18 months after they initially ceased withdrawals. This news story is still unfolding, with more details to be incorporated as and when they arise.
Published At
2/1/2024 2:51:46 AM
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