Celsius Approved For Sale of Mined Bitcoin

Celsius Network gains approval to use mined Bitcoin to pay for operations.

It’s no hidden fact that Celsius Network is experiencing trouble. The bankrupt company has experienced a bit of good look lately after the judge dealing with the bankruptcy case of the company decided to give permission to the company to sell its newly mined Bitcoin.

Despite initial objections the reporting Bankruptcy Court of the Southern District of New York Judge Martin Glenn made a decision to allow the sale. Celsius mining which is a subsidiary of Celsius Network joined the bankruptcy filed by Celsius Network. Initially before the bankruptcy Celsius had sold Bitcoin to continue operating, after the approval of Judge Glenn it should be ok for the company to continue doing so.

The total amount of Bitcoin mined was about 432.30 which is worth $10.3 million. Currently, the projected operational and capitals costs of the company have exceeded that amount. The judge allowed the sale of the Bitcoin to continue as he believed it would eventually prove beneficial to the clientele of Celsius.

The current situation with Bitcoin mining for the company is that it is doing this at a loss but Ross Kwasteniet, counsel for Celsius, stated this is because the firm has just begun mining and all of the equipment and facility has yet to be fully purchased and built. Kwasteniet stated that mining Bitcoin was a “core asset” of the company and expected things to improve in the future. 

There were some that objected to this decision such as the Texas State Securities Board which later rescinded their objections after learning the Bitcoin would be sold for cash and not loaned or invested. Shara Cornell of the U.S Trustee said the office remained opposed to the decision of the judge until more information was obtained about the exact specifications of Celsius’ mining.

Celsius

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