Celsius, Bankrupt Crypto LenderAnnounced on X It plans to unstake existing Ethereum holdings to facilitate distribution of assets to creditors.
Celsius stated in the X post that this is a major event and is scheduled to happen in the next few days. Holding staked Ethereum provides the company with a revenue stream to offset the costs incurred in the restructuring process.
Celsius filed for Chapter 11 in U.S. Bankruptcy Court for the Southern District of New York in July 2022 after facing a liquidity crisis and having to halt withdrawals.
Meanwhile, Alex Mashinsky, founder and former CEO of Celsius, was arrested on fraud charges and is now out on bail. It faces a jury trial on Sept. 17.
refer : theblock.co
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