Beleaguered crypto lender Celsius converted 22,962.8 WBTC into bitcoin on Feb. 28.
The transaction occurred with the consent of the Celsius creditor committee, according to a filing in the lender’s Chapter 11 bankruptcy protection proceedings on March 3.
No reason was given as to why the exchange occurred. Wrapped bitcoin, or WBTC, is an ERC-2o token interoperable with the Ethereum blockchain.
One of a number of crypto lenders to fall afoul of the bear market, Celsius entered into Chapter 11 bankruptcy proceedings in July, when it revealed a $1.2 billion hole in its balance sheet. Since then, it’s been working through a restructuring process and figuring how to pay creditors.
In January, a court-appointed examiner report detailed multiple operational failures, dishonest public statements, market manipulation and Ponzi-like recycling of client assets.
Last month, it put forward plans for a sale to NovaWulf Digital Management, an investment firm founded in 2021 by former Wall Street dealmakers. Those plans were supported by the Celsius creditor committee earlier this week.
Source: https://www.theblock.co/post/217124/crypto-lender-celsius-converts-almost-23000-wbtc-into-bitcoin?utm_source=rss&utm_medium=rss