Bankrupt crypto lender Celsius to auction assets on Oct. 20

Embattled crypto lender Celsius Network has set a final bid date of Oct. 17 for the sale of its assets, according to an Oct. 3 court filing.

According to the filing, the firm would auction its assets on Oct. 20, if necessary. The document revealed that a sales hearing is set for Nov. 1 before Chief US Bankruptcy Judge Martin Glenn via Zoom. It was also stated that the number of participants in the hearing is expected to be large.

Potential bidders

Several firms had previously shown interest in acquiring the assets of the struggling crypto firm.

Reports had revealed that  FTX founder and CEO Sam Bankman-Fried could be bidding for the assets of the cryptocurrency lender. The crypto billionaire stated that his firm would pay a “fair market price” for Celsius’ assets if it gets involved in the bankrupt lender acquisition process.

He added that the goal of his acquisition would be to make Celsius’ customers whole.

Another potential bidder for the firm’s assets is Goldman Sachs. The leading financial institution was reportedly looking to raise $2 billion from investors to purchase Celsius crypto assets at a discount.

Meanwhile, Celsius investor Simon Dixon has expressed reservations about selling the bankrupt firm’s assets to an external investor. According to Dixon, only creditors can make other creditors whole.

Other Celsius users also shared the same view, saying the firm needs a re-organization, not a sale.

Need a re-org not a sale. nothing less then all our coins back is acceptable. Equity in the mining company is the way to fill the hole. IOU token for pain but equity is what will work.

— Jason © (@CeljayCel) September 30, 2022