Key Points:
Failure to comply could result in legal action, as letters are being dispatched to relevant accounts detailing the repayment instructions.
On a more positive note, users who withdrew less than $100,000 are not required to return any funds. However, they are urged to vote in favor of the approved reorganization plan, which was greenlit by creditors in September 2023.
The plan stipulates that custodial account holders will receive 72.5% of their holdings in Bitcoin and Ethereum. Meanwhile, those with interest-earning accounts will receive a combination of cryptocurrency and shares from a new mining company formed from Celsius‘ remaining assets.
Celsius, having faced a severe liquidity crisis exacerbated by the cryptocurrency market downturn following the UST crash and FTX’s collapse, declared bankruptcy with a $1.2 billion deficit in its balance sheet on July 13, 2022.
Notably, Arkham Intelligence reports that Celsius still holds a significant amount of Ethereum, approximately 59,000 ETH valued at over $133 million, in its staked ETH account. This recent strategic move to seek repayment is seen as part of a broader plan aimed at unlocking a substantial portion of Celsius’ Ethereum holdings and facilitating the equitable distribution of assets to creditors—a crucial step in the ongoing bankruptcy proceedings.
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. |
Score a 50% bonus on BDAG purchases! Explore how BlockDAG's presale exceeded $77M, delve into…
This is the most thrilling time for every crypto enthusiast, and for good reason, there…
Spot Bitcoin ETF inflows hit $494 million on September 27 with over $1 billion this…
Binance founder CZ marked his return to social media with a tweet greeting the crypto…
A scam wallet app, posing as WalletConnect on the Google Play Store, successfully perpetrated a…
Su Zhu and Kyle Davies launched a meme coin called "Three Arrowz Capitel" (3AC), which…
This website uses cookies.