Celsius creditors tout NovaWulf deal as ‘best’ option

Quick Take

  • The Official Committee of Unsecured Creditors in the Celsius bankruptcy case gave a nod to NovaWulf Digital Management in a new court filing.
  • Under a proposed bankruptcy deal, smaller creditors would get 70% of their money back.

The Official Committee of Unsecured Creditors in the Celsius bankruptcy case said a proposed sale to NovaWulf Digital Management is “the best” option, according to a new court filing.

Smaller creditors would receive 70% of their money back under the proposed deal, while larger creditors would receive tokenized shares in a new entity managed by NovaWulf. Celsius filed for bankruptcy protection last year and owes billions to its creditors. 

“While the committee will consider all options until a plan is confirmed and has become effective, the committee also believes that the NovaWulf Transaction is the best, actionable alternative at this time,” the filing said. 

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Celsius drew nine takeover bids and 40 expressions of interest, court documents say. The new owners plan to inject between $45 million and $55 million into the business and add new divisions, like private wealth and trade finance.

The independent examiner in the Celsius bankruptcy filed a bombshell report in January detailing operational failures, market manipulation and improper use of customer assets to fund customer withdrawal requests. 


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Stephanie is a senior reporter covering policy and regulation. She is focused on legislation, regulatory agencies, lobbying and money in politics. Stephanie is based in Washington, D.C.

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