Celsius Network hires advisors to prepare for potential bankruptcy
Crypto lending platform hires restructuring consultants from Alvarez & Marsal as customer withdrawals remain frozen
• Crypto lending platform hires restructuring consultants from Alvarez & Marsal as customer withdrawals remain frozen
Crypto financial service provider Celsius Network LLC has hired restructuring consultants to advise on a possible bankruptcy filing, the Wall Street Journal reported on Friday, citing people familiar with the matter.
The report said the New Jersey-based firm hired consultants from advisory firm Alvarez & Marsal.
In another news report published on June 14, WSJ said Celsius has engaged with the law firm Akin Gump Strauss Hauer & Feld LLP to advise on possible restructuring options after pausing all withdrawals, swaps and transfers between accounts, citing extreme market volatility.
On its website, the crypto lender said it had $11.8 billion in assets as of May, which has fallen from about $25 billion in October.
The move is the latest sign of the financial market downturn hitting the crypto sphere and had sparked a selloff across cryptocurrencies.
Picture Credit: Reuters
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