Recently, Celsius announced that it has been granted court permission to initiate the liquidation of its altcoin holdings in order to acquire Bitcoin (BTC) and Ethereum (ETH) to repay its creditors.
This approval comes after the U.S. Securities and Exchange Commission (SEC) designated a range of top altcoins as unregistered securities in two recent major cryptocurrency industry lawsuits.
Currently, Celsius has been in contact with the SEC to “ensure that all of its transactions and the distribution of cryptocurrencies comply with all applicable federal and state laws and regulations.”
According to the circulated accounting balance sheet of Celsius on social media in April, Celsius holds approximately $218 million worth of altcoins, including CEL (Celsius’ native token), MATIC, ADA, LINK, LTC, DOT, BCH, AAVE, UNI, XLM, SOL, EOS, FIT, SRM, and BNB. Among these, CEL comprises a significant portion, followed by MATIC and ADA.
Since the bankruptcy announcement on July 13, 2022, Celsius has actively been repaying its debts and has plans to continue operating during the restructuring process.
Currently, Celsius has only been able to repay debts to creditors, while the process of refunding customers is still encountering significant difficulties.