Court approves asset auction schedule for Celsius Network

A federal bankruptcy judge approved the plan for the Celsius Network asset auction process. Auctions could wrap up by the end of the year.

The decision approves the motion by the crypto-lending company to liquidate the assets of its retail business, which include:

• income accounts, coin balances, trading, loan portfolio, exchange services and staking;
• the CelPay service for payments and transfers in cryptocurrencies;
• the DeFi platform CelsiusX.

The company may also offer for sale “any cryptocurrencies or digital assets” it owns.

The court order sets the deadlines, as well as bidding rules for the auction, the possibility for Celsius to participate through a strawman and the auction’s conduct.

Participants in the bidding may submit proposals from November 21 to December 12. The auction will take place on December 15, with four days allocated for filing and consideration of objections.

The court hearings on the results of the auction will be held on December 22.

Celsius may also file for sale of the remaining assets belonging to the mining subsidiary. The timelines and procedures for the auction are the same as those for the company’s retail business.

Earlier in October, Judge Martin Glenn approved the initial schedule for Celsius asset sale auctions. It was expected that they would wrap up by October 20.

However, the decision met objections from Celsius and the trustee. During the hearing, Martin Glenn rejected their arguments.

Earlier in June, the crypto-lending platform suspended withdrawals, exchanges and transfers between accounts.

A month later, Celsius and some affiliated entities filed for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code. The platform’s liabilities exceeded its assets by $2.85 billion.

In September, CEO Alex Mashinsky presented a plan to save Celsius from bankruptcy, according to media reports. Later he left his post.

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