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Celsius Distributes Cryptocurrency Claims
Cash and Stocks
According to court documents submitted by bankrupt cryptocurrency lending company Celsius on Friday, the restructuring team has already distributed a majority of the cryptocurrency owed to its creditors. As previously reported, the company began this process at the end of January, with plans to distribute a total of $3 billion worth of Bitcoin and Ethereum to its creditors.
In an update submitted to the court on Thursday by the company’s law firm, Kirkland & Ellis, it was stated that “approximately 75% of the funds have been allocated through the BTC and ETH distribution plan via PayPal/Venmo and Coinbase.”
According to the document, Celsius has distributed $2 billion worth of cryptocurrency, transferring 20,255.66 BTC and 301,338.77 ETH to 171,672 creditors. (Due to Taiwan no longer being within Coinbase’s supported service area, cash payments may be used instead. Those experiencing issues with the claims process can seek assistance from Celsius customer service through the following link.)
For eligible foreign creditors who qualify for cash distributions but are located in jurisdictions that do not support bank checks, the debt claims will be transferred via wire transfer. The document states, “Post-effective date debtors have received numerous communications from creditors expressing concern about their inability to deposit checks drawn on U.S. banks in their respective jurisdictions, and post-effective date debtors believe that the option of wire transfers will help resolve most of these issues.”
Additionally, it should be noted that eligible creditors who are entitled to receive shares in a new mining company created with remaining assets from Celsius will receive relevant email notifications from transfer agent Odyssey Transfer and Trust Company.
