the company is embarking on Bitcoin (BTC) mining to raise the bar

The slow sinking of Celsius had been particularly commented on within the crypto community. Following its declaration of bankruptcy, the company restructures and tries to find new avenues. One of them will be Bitcoin mining, according to the latest announced decision.

Following its bankruptcy, Celsius embarks on the mining of Bitcoin

As a reminder, the crypto-lending company voluntarily declared bankruptcy last week: this means that its “restructuring” will be subject to the approval of a judgein an attempt to save the ship. And we learned this week that Celsius intends to embark on Bitcoin mining in order to straighten out its economic model.

This is in any case what emerges from a request made to judge Martin Glenn, responsible for the reorganization of the company. The latter approved an expenditure of 3.7 million dollars, in order to build a Bitcoin mining infrastructure. In addition, $1.5 million will be spent on importing mining equipment.

The company hopes that this new initiative will allow it to stay afloat, and to satisfy its aggrieved customers who have been very hard hit by the collapse of the project. Celsius’s new team of lawyers confirmed to the judge that mining had great potential… Provided prices go up:

In a world where crypto markets are rebounding, the mining industry has the potential to increase in value.»

A risky bet, therefore, but which could pay off in the long term for the company.

👉 More info on how Celsius Network works

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Other ongoing initiatives

Celsius’ plans don’t stop there, however. The company also intends to sell part of its assetsand invest in third-party investment opportunities. As far as injured customers are concerned, they will have several options:

“[Celsius] will provide clients with the option of either picking up their cash at a discount, or continuing to go “long” in cryptos.»

In any case, the path will be long for Celsius. Each decision will be subject to approval by the judge in charge of the company, and the slightest of his movements will be observed. We will therefore carefully monitor this attempt to refloat, which will be of significant importance for the ecosystem as a whole.

👉 To go further – Analysis: Celsius Network, what mistakes led to its downfall?

Source: Reuters

published by editions Larousse

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