Three-way Bidding War for Celsius To Begin Tuesday

New bidders include Fahrenheit LLC and the Blockchain Recovery Investment Committee, backed by Gemini and Van Eck

article-image

Artwork by Axel Rangel modified by Blockworks

share

Celsius is scheduled to go to auction Tuesday, with new bidders hoping to take over the failed crypto lending service.

NovaWulf Digital Management is the stalking horse bidder for the auction, meaning the company set the initial low-end bid. Other bidders are Fahrenheit LLC and the Blockchain Recovery Investment Committee, according to a Saturday court filing. 

“What has happened to the stakeholders of Celsius is an absolute tragedy and has affected the entire industry,” Fahrenheit backer Michael Arrington said on Twitter Saturday. “We want to help put the pieces back together and will work tirelessly to do this.”

Fahrenheit’s bid is “not structured as a simple asset purchase,” Arrington said. 

“We are proposing that the assets be placed into a new company [which] is run with the sole goal of growing those assets to make stakeholders whole,” he added. 

The Blockchain Recovery Investment Committee includes Van Eck Absolute Return Advisers Corporation, Global X Digital and Gemini Trust Company. 

The auction is set to begin Tuesday at 2 pm in New York. 

Celsius filed for bankruptcy in July after halting withdrawals the month prior, due to “extreme market conditions,” the company said.

Celsius had $5.5 billion in liabilities and $4.3 billion in assets, according to previous filings — leaving it with at least a $1.2 billion shortfall.Investment bank Centerview Partners contacted more than 130 potential bidders for Celsius’ assets, according to a February filing in the US Bankruptcy Court in the Southern District of New York.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

MON - WED, MARCH 18 - 20, 2024

Digital Asset Summit (DAS) is returning March 2024. What you can expect: And more! Don’t miss out on the opportunity to be in the room when the future of crypto is decided. Join us and help shape the future of our […]

recent research

Research report - cover graphics-2.jpg

Research

Base has doubled-down on its commitment to the Superchain vision, has shown early signs of success with nearly $400M in TVL, and has become home to novel dapps such as friend.tech which has seen significant traction.

article-image

The SEC, in a Friday court filing, said it reserves its right to object to the plan from Celsius

article-image

Largely unnoticed until Monday, stakeholder Justin Sun confirmed a $8 million hack in a tweet

article-image

Crypto is that perfect edge for candidates to use to gain votes and campaign dollars

article-image

Coinbase can offer crypto custody, crypto buying and selling and crypto trading as part of the registration

article-image

The latest industry scandal has rattled Hong Kong’s ambition to become a global crypto hub as its main financial regulator ramps up measures designed to protect investors

article-image

Coinbase holds about 5% of the total bitcoin in circulation, according to on-chain analytics firm Arkham Intelligence