With the latest court ruling, Celsius was not allowed to form a formal stockholders committee. A federal judge recently authorized the possible sale of Celsius’ assets.
US bankruptcy judge Martin Glenn foiled Celsius’s plans with his ruling in the case of crypto lender Celsius. Glenn recently voted against Celsius’ claims on its most valuable assets.
An Unsolicited Order From The Court To Celsius
After the decision on the company’s lead program recently, Celsius was planning to request proposals for crypto assets, loan portfolio, swap services, staking platform and decentralized finance arm.
With the decision that followed these developments, the judge opposed the idea of a stockholders committee, which was trying to establish a claim on Celsius’s most valuable assets. With the decision, the company will cause the bankrupt shareholders to pay the costs of lawyers and consultants.
Some Celsius shareholders argue that due to Celsius’ corporate structure, they are entitled to value from the crypto lender’s mining business and credit book, rather than the company’s customers. Lawyers for Celsius creditors, who are overwhelmingly clients, disagree.
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