2023-11-15 | CSE:CCR | Press Release2023-11-15 | CSE:CCR | Press Release
Assessing the odds of DOGE crossing alt=Assessing the odds of DOGE crossing $0.79 

Investing.com  |  Editor Hari G

Published Nov 15, 2023 09:19PM ET

NEW YORK – Troubled crypto lender Celsius has transferred approximately $10 million worth of Ethereum to digital asset platform FalconX, as part of its ongoing restructuring efforts. This move comes after the company’s transition into a creditor-owned entity focused on crypto mining and staking, with a judge-approved bankruptcy plan in place.

The transfer of 5,160 ETH, valued at $10.49 million, was reported by Etherscan on Wednesday, November 15, 2023. The transaction is believed to be an asset sale motivated by the recent surge in Ethereum’s price, which has seen an almost 80% increase year-to-date, reaching $2,033. Earlier this year, Celsius had moved 428,000 STETH, valued at $780 million at the time, from Lido Finance to FalconX.

In the days leading up to today’s transaction, Celsius had been actively liquidating various assets including stablecoins, SPELL tokens from Abracadabra DeFi, and BAT (LON:BATS) tokens from the Brave browser. These were moved to exchanges such as Binance and OKX. The strategic liquidation is part of Celsius’s efforts to navigate its bankruptcy proceedings and restructure its operations.

The new direction for the company involves transforming into NewCo, a crypto mining and staking firm. Under creditor ownership, NewCo is projected to have a balance sheet estimated at $1.25 billion. This includes a significant portion in liquid cryptocurrencies that could potentially be staked on Ethereum.

Celsius’s shift in strategy follows a tumultuous period that began in June 2022 when market instability led the company to freeze withdrawals and file for bankruptcy shortly thereafter. At that time, Celsius disclosed nearly $5 billion in creditor debt. The recent court-approved plan promises creditors potential returns through staking yields and marks a significant step in the company’s attempt to recover and provide value to its stakeholders.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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