2023-01-25
Celsius may issue its own tokens, to repay creditors, according to a Bloomberg report on Jan. 24, citing sources from court hearing videos.
According to the report, Celsius attorney Ross M. Kwasteniet told the court that the company is negotiating with creditors about how to reactivate the platform and make adequate reimbursements, with the new version launched as a "properly registered public company", which, if approved by creditors and the court, would be a "duly registered public company". The company will "issue new tokens to creditors as part of a payment plan."
Details of the plan will be filed with the court later this week, the report said.
A Twitter user called CelsiusFacts, who often tweets updates about the case, claims to have found details of the reorganization plan, according to a Jan. 24 statement by Celsius Network intending to become a public company and use "third-party services" to ensure compliance with U.S. financial regulations, with users claiming up to $7,500, or 95% of the total, whichever is less. New tokens will be issued to cover the remaining 5% or amount above $7,500.
Ref. CelsiusFactsNumbers on Twitter
Source Link: MSN News
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