The majority of creditors impacted by the bankruptcy of Celsius have backed the proposed reorganization plan for the crypto lending platform, in which they would receive partial assets and a stake in the new company.
Under this plan, the debtors will distribute $2 billion worth of Bitcoin and Ethereum.
Additionally, Celsius will establish a new public company called NewCo and transfer its shares to creditors.
The approval of this proposal signifies the final phase in the platform’s bankruptcy proceedings, with clients anticipating a return of 67-85% of their funds.
According to the statement, NewCo will handle Celsius’ Bitcoin mining operations, participate in Ethereum staking, monetize other illiquid assets of debtors, and explore new business opportunities that comply with regulations and increase revenue.
The Fahrenheit Group consortium has been appointed as the manager of NewCo.
