Hodlnaut works with potential buyers to sell firm and FTX claims: Report

cointelegraph.com:

Troubled cryptocurrency lending firm Hodlnautis reportedly working with several potential investors to sell its business and other assets.

A number of potential buyers have inquired about purchasing Hodlnaut and its claims against the collapsed crypto exchange FTX, Bloomberg reported on Feb. 6.

Hodlnaut’s interim judicial managers have received multiple proposals to acquire its Singapore-based crypto business after the company sought protection from creditors. Citing an affidavit, the report notes that the judicial managers are now in the process of signing non-disclosure agreements with the potential investors.

The affidavit reportedly indicated that as of Dec. 9, Hodlnaut Group owed a total of $160.3 million — or 62% of outstanding debt — to companies and entities like Algorand Foundation, Samtrade Custodian, S.A.M. Fintech and Jean-Marc Tremeaux.

As previously reported, Hodlnaut’s FTX accounts held 514 Bitcoin (BTC), 1,395 Ether (ETH), 280,348 USD Coin (USDC) tokens and 1,001 FTX (FTT) tokens. The company reportedly had more than $18 million worth of digital assets on centralized exchanges like FTX, Deribit, Binance, OKX and Tokenize.

Once a major crypto lending platform, Hodlnaut was forced to halt operations due to lack of liquidity triggered by a massive bear market of 2022. After freezing withdrawals in August, Hodlnaut obtained creditor protection by Singapore Court, allowing the firm to restructure under court supervision. The court appointed Ee Meng Yen Angela and Aaron Loh Cheng Lee of EY Corporate Advisors as interim judicial managers.

Related: Celsius publishes list of users eligible to withdraw majority of assets

The news comes weeks after Hodlnaut’s creditors rejected the proposed restructuring plan and sought