Decoding the significance of 17 October for the bankrupt Celsius Network

ambcrypto.com:

Celsius Network [CEL], the New Jersey-based bankrupt cryptocurrency lending company, managed to set the date for auctioning its assets. As per the document filed with the US Bankruptcy Court for the Southern District of New York on 3 October, Celsius will have its final auction on 17 October.

Furthermore, a sale hearing would occur on 1 November via Zoom before Chief US Bankruptcy Judge Martin Glenn. This event is anticipated to have the participation of a large number of interested parties.

It was in June 2022 that Celsiussuspended asset withdrawals and transfers on its platform, citing “extreme” market conditions. The organization further filed for bankruptcy the following month. The exchange also stated that it had $167 million in liquidity to support its current operations and restructuring its business.

Celsius also disclosed that it owed its users $4.7 billion. Since then, 58,000 custodial account holders that together lost $150 million have come together to recover their funds.

Last month, the courtallowed approved the appointment of Shoba Pillay as an independent examiner to provide a full report on Celsius’ assets and liabilities. However, Celsius was not the only crypto firm to have collapsed this year. TerraUSD stablecoin, hedge fund Three Arrows Capital and crypto lender Voyager Digital also collapsed during the same phase, leading to the global crypto crash.

FTX CEO Sam Bankman-Fried “SBF” has been considering to bail out the troubled exchange. The billionaire opined on Twitter that if FTX gets involved, then the bid for Celsius would be determined by fair market price, similar to its dealing with Voyager.

Recently, FTX successfully acquired the auctioned assets of Voyager with an offer of about $1.4 billion.