Crypto Consortium Fahrenheit Wins Bid to Acquire Bankrupt Celsius' Assets
Crypto consortium Fahrenheit, backed by US Bitcoin Corp., Arrington Capital, Proof Group, Steven Kokinos, and Ravi Kaza, has won the bid to acquire insolvent lender Celsius Network. The deal includes Celsius's institutional loan portfolio, staked crypto assets, its Bitcoin mining unit, and other cryptocurrency-related investments. Fahrenheit will provide capital, a management team, and technology to establish and operate the new public, regulatorily compliant company. In addition, the newly-formed company will receive liquid cryptocurrency estimated to be between $450 and $500 million. To finalize the agreement, a deposit of $10 million is required within three days, and the deal is subject to approval from the US Bankruptcy Court. If required, the Blockchain Recovery Investment Consortium will establish a publicly traded mining business. Celsius entered Chapter 11 bankruptcy in July 2020 and has been attempting to restructure since then.