Passing by bankruptcy procedure Celsius Network is considering the possibility of issuing a token for payment according to the requirements of creditors. Company representatives stated this in court, according to Bloomberg.
According to the firm’s lawyers, the proposed plan envisages the reorganization of Celsius into a licensed public company. This will give a greater volume of liability compensation than the sale of hard-to-liquid assets at current low prices, lawyers noted.
The idea to follow for example Bitfinex proposed by a group of Celsius investors. In this way, the crypto exchange compensated the victims of the hack in 2016.
Any reorganization plan must be approved by all creditors. Bankruptcy judge Martin Glenn, who is presiding over the Celsius case, promised to take into account the results of the vote.
The company will reveal in more detail the order of reorganization with the issuance of the token within a week. The updated Celsius business will be built around the existing credit and investment portfolios and mining operations, the lawyers clarified.
They also noted that cryptocurrency mining has become more profitable in recent months.
As a reminder, in January, the company notified the court about the sale of mining equipment in the amount of $1.3 million.
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