Celsius Network decides the timeline for its asset auction

Troubled crypto lending platform Celsius Network has recently announced the timeline for the auction of its assets. According to a filing with the United States Bankruptcy Court for the Southern District of New York, the company has decided to have a final bid deadline of October 17 at 4 PM Eastern Time. Moreover, if necessary, the auction is decided to take place on November 1 at 11 AM ET before Chief United States Bankruptcy Judge Martin Glenn on Zoomer.

According to a court petition on Monday, many big names are expected to attend the Celsius auction hearing. Who makes the biggest and best offer for the firm’s assets is yet to be determined.

Sam Bankman-Fried, the CEO of FTX, reportedly contemplates making a bid for Celsius’s assets. Last week, FTX’s U.S. division won an auction for the assets of the insolvent cryptocurrency company Voyager Digital with a bid of around $1.4 billion.

Troubled journey of Celsius Network

Celsius Network, the company suffering from massive winds by crypto winter, halted client withdrawals and trapped billions of dollars of over a million accounts in June, as TheCoinRise reported. The action was followed by a difficult decision of filing for Chapter 11 bankruptcy in July. The latest court documents reveals that the company’s liabilities were over $6.7 billion and its assets were valued only around 43.9 billion, creating a massive hole of $2.8 billion in the balance sheet.

It seemed that the bankruptcy proceedings have been really tough for Celsius as its founder and CEO Alex Mashinsky resigned from his post last week. He reportedly withdrew $10 million before the company froze use withdrawals in June.

Recently, the U.S. Bankruptcy court decided to bring an independent examiner to probe Celsius to look at how the company stores its crypto holdings and whether any of account types were ever mixed together.