Celsius applies for the sale of assets in stablecoins

The bankrupt crypto lender currently owns 11 different stablecoins, totaling about $23 million

16.09.2022 - 07:30

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What’s new? Bankrupt crypto lending platform, Celsius Network, has asked the court for permission to sell its stablecoin holdings to provide liquidity to fund its operations. According to Reuters reporters, Celsius currently owns 11 different stablecoins, totaling about $23 million. According to new court documents, a hearing on the request is set for October 6.

Celsius’ court documents

What is known about Celsius? The platform filed for bankruptcy on July 13. At the first hearing, its lawyers said that most of the user funds on the platform were at the company’s disposal. In this, Celsius filed a request for $50 million in refunds from customers. The company noted that those assets are not part of the bankruptcy estate. The funds will be returned to customers with a balance of $7500 or less.

Also, Celsius CEO Alex Mashinsky unveiled a new restructuring plan for Celsius. He intends to rebuild the firm into a custodial platform that will earn fees for certain types of transactions. The project has been given the working name Kelvin.

To learn more about how Celsius lost its customers’ hundreds of millions of dollars in high-risk schemes, see GetBlock Magazine’s editorial.

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