Crypto Lender Celsius Wins Approval To Extend Exclusivity Periods Till 2023

Last Updated:
  • Crypto lender Celsius wins approval on extension for its Exclusivity Periods till February 2023.
  • The company is also seeking a motion to enable Stablecoin sales.
  • Court approved Celsius’ request to pay non-executive employees their bonuses to retain staff during efforts to exit bankruptcy.

Today, cryptocurrency lending platform Celsius posted a series of Twitter threads discussing updates on court hearings in relation to their bankruptcy filings. After participating in two hearings, Celsius is now focusing on discussing “key matters” with important stakeholders.

The company is currently seeking a motion requesting approval to permit the sale of stablecoin, in order to provide liquidity to continue operations and generate maximum value for its stakeholders. The decision on the motion is still pending and might be announced in the incoming week.

Moreover, Celsius recalls the Court’s approval of an extension for its Exclusivity Periods until February 15, 2023. The company explains that during this period, it has the exclusive right to submit a chapter 11 plan of reorganization.

Additionally, Celsius expresses gratitude towards the UCC and ad hoc groups for their partnership on the matter.

Meanwhile, the company states that it is currently using the time on hand to develop a plan for a successful stand-alone business while exploring opportunities that will derive maximum value and better benefits for customers and stakeholders.

Earlier that day, Celsius Network LLC also received permission from Court, to provide bonuses amounting to $2.8 million to stop workers from quitting. The plan that is approved by US Bankruptcy Judge Martin Glenn, claims to pay non-executive employees their bonuses to retain resources while the company figures its way out of bankruptcy.

Ross Kwasteniet of the law firm, Kirkland & Ellis voiced:

We’re getting really down to the nub of what we need to continue to function.

After filing for bankruptcy in July, Celsius has lost 200 employees since the outset of its Chapter 11 proceedings.