1. BITBILIHome
  2. Article

Celsius Network Advances Bankruptcy Proceedings with Altcoin Conversion Approval

• 50 views

TL;DR Breakdown

  • Celsius Network, a bankrupt crypto lender, has been granted permission to liquidate altcoins and convert them into Bitcoin and Ethereum.
  • The approval aligns with regulatory compliance requirements and highlights the evolving nature of the crypto industry.

Description

In a significant development for the crypto industry, Celsius Network, the bankrupt crypto lender, has been granted permission by US Bankruptcy Judge Martin Glenn to liquidate its altcoins and convert them into Bitcoin (BTC) and Ethereum (ETH). This decision comes as the platform seeks to expedite the distribution of funds to its creditors. Following discussions … Read more

In a significant development for the crypto industry, Celsius Network, the bankrupt crypto lender, has been granted permission by US Bankruptcy Judge Martin Glenn to liquidate its altcoins and convert them into Bitcoin (BTC) and Ethereum (ETH). This decision comes as the platform seeks to expedite the distribution of funds to its creditors. Following discussions between Celsius Network handlers and the United States Securities and Exchange Commission (SEC), the proposal was ratified, allowing the embattled lender to “sell or convert any non-BTC and non-ETH cryptocurrency, crypto tokens, or other cryptocurrency assets” into BTC or ETH, starting July 1, 2023.

Contents
hide

1
Consolidating Altcoins Amid Regulatory Crackdown

2
Celsius Network’s Acquisition and the Path Ahead

3
Evolving Nature of the Crypto Industry and Regulatory Compliance

4
Conclusion

Consolidating Altcoins Amid Regulatory Crackdown

Celsius Network’s bankruptcy declaration last year made it one of the earliest casualties of the crypto market. Despite this, the proceedings have been protracted, leaving creditors without closure. However, the recent approval by Judge Martin Glenn brings renewed hope for a resolution. With the SEC tightening regulations and classifying several top altcoins as securities, the need to consolidate non-BTC and non-ETH altcoins into the dominant digital currencies has become imperative. Altcoins such as Cardano (ADA), Solana (SOL), and Polygon (MATIC) have faced scrutiny from the regulator, prompting Celsius Network to streamline its assets.

Celsius Network’s Acquisition and the Path Ahead

Celsius Network, under new ownership by the crypto consortium Fahrenheit, has revealed plans to devise an updated bankruptcy plan. While specific details remain undisclosed, it has been confirmed that the assets will be distributed exclusively in Bitcoin and Ethereum, aligning with the ongoing liquidation process. This approach underscores the consortium’s commitment to meeting the demands of creditors while leveraging the stability and market presence of BTC and ETH.

The bankruptcy of Celsius Network was followed by similar events at other platforms, including Voyager Digital and FTX Derivatives Exchange. Each platform has sought custom approaches to address creditor refunds and restore operations. FTX, for instance, successfully recovered over $7 billion belonging to creditors and is currently exploring plans to reactivate the platform in the near future.

Evolving Nature of the Crypto Industry and Regulatory Compliance

This series of bankruptcies and subsequent resolutions within the crypto industry highlights the evolving nature of the market. The involvement of regulatory bodies such as the SEC underscores the need for platforms to adapt to changing compliance requirements. Celsius Network’s decision to convert altcoins to BTC and ETH showcases a proactive approach to resolving its financial predicament, while simultaneously aligning with regulatory guidelines.

As the bankruptcy proceedings move forward, Celsius Network, now under the ownership of Fahrenheit, continues to navigate the challenging landscape of the crypto industry. The successful liquidation and conversion of altcoins into Bitcoin and Ethereum signal progress toward meeting creditor obligations and bringing closure to a tumultuous chapter in the platform’s history. The outcomes of these proceedings will undoubtedly have implications for the wider crypto community, underscoring the importance of regulatory compliance and prudent asset management in a rapidly evolving ecosystem.

Conclusion

In the coming months, as Celsius Network unveils its updated bankruptcy plan and other platforms explore their own paths to recovery, the crypto industry will closely observe the unfolding events and their impact on the future of digital asset management and regulatory compliance.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:Celsius Network Advances Bankruptcy Proceedings with Altcoin Conversion Approval

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年7月3日 21:59
Next 2023年7月4日 00:00

Related articles

  • Has Silicon Valley reached the end of the tunnel?

    TL;DR Breakdown Uber reports its first-ever profit, signaling a potential shift in Silicon Valley’s approach. The 2010s saw Silicon Valley prioritizing aggressive growth, often at the cost of sustainability. Modern tech CEOs now emphasize sustainability and responsibility, though underlying incentives remain the same. Description The recent announcement of Uber’s first-ever profit was more than a milestone for the company – it was a potential signifier of a changing landscape in Silicon Valley. A shift in mindset from unbridled growth to fiscal responsibility and sustainability is on the horizon, but has Silicon Valley truly transitioned? From ‘cash burn’ to cash … Read more The recent announcement of Uber’s first-ever profit was more than a milestone for the company – it was a potential signifier of a changing landscape in Silicon Valley. A shift in mindset from unbridled growth to fiscal responsibility and sustainability is on the horizon, but has Silicon Valley truly transitioned? From ‘cash burn’ to cash flow: A Silicon Valley evolution Silicon Valley, during its boom in the 2010s, was notorious for an aggressive “grow at all costs” strategy….

    Article 2023年8月7日

  • Landmark victory: Hermes secures permanent ban on ‘MetaBirkin’ NFT sales in US lawsuit

    TL;DR Breakdown On Friday, a federal judge in Manhattan sided with Hermes and temporarily halted the sale of “MetaBirkin” non-fungible tokens by artist Mason Rothschild after a jury found that the tokens infringed on the French luxury brand’s trademark rights in its signature Birkin bag in the U.S. Rothschild (real name Sonny Estival) defended his art by arguing that it was an absurdist statement on luxury items and hence protected by the 1st Amendment. According to Rothschild in court, Hermes’ request was “far beyond what is appropriate in a case, like this one, that involves artistic expression.”  Description On Friday, a federal judge in Manhattan accepted Hermes’ plea to permanently halt artist Mason Rothschild’s sales of “MetaBirkin” non-fungible tokens after a jury found that they infringed upon the French luxury brand’s trademark rights in its well-known Birkin handbags. Federal judge injuncts MetaBirkin NFT sales According to US District Judge Jed Rakoff, the permanent … Read more On Friday, a federal judge in Manhattan accepted Hermes’ plea to permanently halt artist Mason Rothschild’s sales of “MetaBirkin” non-fungible tokens after a jury…

    Article 2023年6月26日

  • U.S. national debt surpasses $32 trillion, raising concerns over fiscal future

    TL;DR Breakdown The U.S. national debt has reached a record-breaking $32 trillion, raising concerns about the country’s fiscal trajectory and prompting calls for reform. Despite bipartisan efforts to suspend the debt limit and implement spending cuts, the debt is projected to surpass $50 trillion by the end of the decade. Congress faces challenges in reconciling spending bills and considering new tax cuts, while experts emphasize the need to address the costs of social safety net programs and ensure long-term fiscal stability. The gross national debt of the United States has exceeded $32 trillion for the first time, highlighting the country’s concerning fiscal trajectory as policymakers gear up for another debate on government spending. This milestone, reached earlier than pre-pandemic forecasts had projected, reflects the massive emergency expenditures aimed at addressing the impact of Covid-19 and prolonged periods of sluggish economic growth. Mounting debt and fiscal concerns Republicans and Democrats have expressed apprehension about the nation’s debt, yet neither party has demonstrated a willingness to address its principal drivers, such as Social Security and Medicare spending. Despite the recent bipartisan agreement…

    Article 2023年6月19日

  • Scammers target Meta’s new app Threads with imposter accounts

    TL;DR Breakdown Despite Threads growing popularity, with over 98 million sign-ups since its release on July 5, several high-profile Crypto Twitter users have already encountered imposter accounts and warned others about them. One of the notable incidents occurred when Wombex Finance, a decentralized finance platform, tweeted about a Threads account impersonating their project.  These scammers links typically aim to trick unsuspecting targets into sharing sensitive information, such as their crypto exchange login credentials, crypto wallet seed phrases, or connecting their wallets to crypto-draining smart contracts. Description Since the launch of Meta’s new microblogging app, Threads, scammers have wasted no time in attempting to deceive users. Despite the app’s growing popularity, with over 98 million sign-ups since its release on July 5, several high-profile Crypto Twitter users have already encountered imposter accounts and warned others about them. One of the notable incidents … Read more Since the launch of Meta’s new microblogging app, Threads, scammers have wasted no time in attempting to deceive users. Despite the app’s growing popularity, with over 98 million sign-ups since its release on July 5, several…

    Article 2023年7月11日

  • Trial date set for alleged crypto trader involved in multi-million dollar Mango Markets scam

    TL;DR Breakdown Avraham Eisenberg, alleged crypto user behind Mango Markets hack, to face trial on Dec. 4 in the US for multimillion-dollar theft. Eisenberg pleads not guilty to charges of commodities fraud, manipulation, and wire fraud related to Mango Markets exploit. Separate civil suits filed against Eisenberg by CFTC, SEC, and Mango Markets. The criminal case against Avraham Eisenberg, the crypto user accused of orchestrating a multimillion-dollar exploit of the decentralized exchange Mango Markets, is set to proceed in the United States. Judge Richard Berman of the U.S. District Court for the Southern District of New York has scheduled Eisenberg’s trial for December 4. The exploit, which occurred in October 2022, resulted in the theft of approximately $116 million worth of governance tokens MNGO, USD Coin, and Marinade Staked SOL (mSOL). Eisenberg has pleaded not guilty to three criminal counts related to commodities fraud, commodity manipulation, and wire fraud. Allegations and legal proceedings According to court records filed on June 14, Eisenberg allegedly executed a major exploit on Mango Markets, manipulating futures contracts to artificially inflate the price of swaps…

    Article 2023年6月19日
TOP