Prime Trust Dispute Is Resolved And Fee Examiner Was Appointed At The Celsius Hearing

The mechanism for a potential asset auction for Celsius is now being worked out by the parties involved in the bankruptcy proceedings.

Prime Trust Dispute Is Resolved And Fee Examiner Was Appointed At The Celsius Hearing

These assets are still in flux because at today’s hearing, crypto custodian Prime Trust consented to give the troubled lender back around $17 million in cryptocurrency.

The court also consented to appoint a fee examiner to look into the escalating fees associated with the bankruptcy procedure.

Martin Glenn, the chief bankruptcy judge for the Southern District of New York, heard arguments over the proposed bidding process’s timing for assets owned by the mining company and retail platform. In order to address concerns about whether assets qualify as custody as opposed to other products, Celsius’s attorneys changed the schedule. Now, the company wants to complete any sale negotiations before the year is over.

Through the conclusion of its disagreement with custodian Prime Trust, Celsius might receive additional funds. Prior to the relationship ending, Prime Trust held approximately $120 million in assets for Celsius and returned the majority of those monies. However, Celsius sued Prime Trust for the remaining $17 million, claiming that Prime Trust did not return it. In light of the court’s approval, Prime Trust stated at the hearing that it will transfer the money back to a Celsius wallet.

Celsius has not yet submitted solo strategy

Prime Trust Dispute Is Resolved And Fee Examiner Was Appointed At The Celsius Hearing

Prior to an auction in the bankruptcy proceeding, Celsius has not yet submitted a solo strategy. The independent examiner assigned to the case has just begun their inquiry.

The results of that investigation may have an impact on how assets are distributed to creditors as well as provide more information about the company’s operations and regulatory interactions, which may have an impact on the auction process.

Setting the dates for a potential auction raises some concerns about how to protect the estate’s remaining assets. The expense of bankruptcy proceedings can deplete already limited funds that are frequently destined for creditors. This was the primary issue brought up before the court appointed the independent examiner, which resulted in a more focused probe than originally planned.

To assess the monthly fee statements submitted by retained professionals during the bankruptcy procedure, the court has now appointed a new examiner. Christopher Sontchi, a judge, will fill the position. Prior to leaving his position as a bankruptcy judge in the District of Delaware, he worked as an international judge on insolvency cases for the Singapore International Commercial Court. He also focused on mediations and arbitrations.

In July, Celsius started the Chapter 11 process. On November 1, the case’s next hearing is scheduled.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Website: coincu.com

Annie

CoinCu News

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

Recent Posts

Best Altcoins to Buy Today: Qubetics Rides 1000x Potential to Hit $2.6M, Ethereum Stays Rangebound, Tron USDT Transactions Hit $52B

Discover the best cryptos to buy and hold today: Qubetics leads with 1000x potential, Ethereum…

1 hour ago

Trump Media Company Is Pushing New Venture For Crypto Service

With the platform facing a cracked whip, Trump Media company is expanding into new business…

2 hours ago

Crypto Advisory Council Now A White House Position Attracting Leaders

Major crypto firms, including Ripple, Kraken, and Circle, are competing for spots on President-elect Donald…

3 hours ago

Analyst Sounds Major Breakout Alert Amid Shiba Inu, WallitIQ, And Dogecoin Price Recoveries

Analysts highlight a breakout alert as Shiba Inu (SHIB), and Dogecoin show signs of recovery…

3 hours ago

SEC Chair Gary Gensler Will Lose Power From January 20

SEC Chair Gary Gensler will step down on January 20, 2025, coinciding with President-elect Donald…

3 hours ago

MicroStrategy Convertible Notes Now Out of Stock With $3B Raised

The MicroStrategy convertible notes offering, initially set at $1.75 billion, was increased to $2.6 billion…

4 hours ago

This website uses cookies.