Celsius receives the court blessing to sell his mined bitcoins

Celsius receives the court blessing to sell his mined bitcoins

The mining business of the cryptocurrency loan Celsius was a controversial topic during his bankruptcy proceedings, but the company received approval to reduce and sell Bitcoin to support the company.

During the Hearing on Tuesday. would first make investments that help him run with optimal capacity. But he admitted that it was said and did that it was the company's business decision - the bankruptcy courts are reluctant to reject.

Celsius has supposedly tamed the resistance of his believer committee by changing his suggestion, In order to determine that the proceeds from Bitcoin sales would be separated from the company's equipment.

However, the Ministry of Justice still levies against the plan. Process lawyer Shara Cornell from the Doj argued before the approval of judge Glenn argued that the operation was not clear enough to be approved.

"In this case we really are, transparency and we do not have this kind of insight into mining companies," she said. "For example, we do not know at the present time how high the debtor's pension costs are for the operation of these mining rigs."

Regardless of this, Celsius said at the hearing that it received several offers for money injections to finance his restructuring process. The company is expected to return to court on September 1 to approved auction procedure.

larger balance sheet, faster cash burn

before, Celsius said that the mining business would be the key to its restructuring efforts, whereupon it was permitted to make expenses Dollar on construction and imports related to business.

Celsius has 80,850 Bitcoin mining rigs, but only half of them are in operation. On July 13, the company enrailed an average of 14.2 Bitcoin (~ 341,634 $) per day, a Setting showed. It is expected to generate 10,118 Bitcoin this year and 15,000 Bitcoin next year. Mining is generally influenced by Bitcoin's volatility and is not always profitable.

Before the bankruptcy request, Celsius had plans to expand his mining rigs to 120,000 this year. Bitcoin mining sales previously used it to finance business and pay an internal loan with the parent company.

The further the case progresses, the more concerned the financial problems of Celsius. After the company initially disclosed a 1.2 billion dollar hole in its balance sheet, the company has now said that its deficit is actually more than twice as high-at $ 2.8 billion.

an Court of August Months to burn considerable cash, which would give him a negative cash flow of almost $ 34 million for this quarter.