Bankrupt crypto lender Celsius has repaid approximately $2.53 billion to 251,000 creditors, as per an Aug. 26 court filing.
This repayment represents about two-thirds of eligible creditors by number and roughly 93% of the total eligible value.
Celsius distributed $1.43 billion in crypto via PayPal/Venmo, $917 million in crypto through Coinbase, and $178 million in cash transfers.
Celsius’ bankruptcy plan aimed to distribute over $3 billion to more than 375,000 creditors globally, indicating a substantial amount of creditors have yet to claim their assets.
Unclaimed Distributions
The failed lender mentioned that 121,000 eligible creditors are yet to claim their distributions, each with an average distribution of around $1,500.
About 64,000 have distributions below $100, while 41,000 fall between $100 and $1,000. Celsius noted that smaller sums may not incentivize creditors to complete the necessary steps to claim their distributions.
The bankruptcy administrator plans to retry distributions via Coinbase biweekly, with PayPal claim codes always redeemable. Cash distributions are attempted weekly.
However, not all creditors are expected to claim their funds. Unclaimed amounts will be redistributed to other creditors following the reorganization plan.
Ionic Digital
As part of Celsius’s reorganization plan, funds have been allocated to establish Ionic Digital, a new Bitcoin mining venture.
The BTC mining company announced that Building 1 at its Cedarvale, Texas facility is now operational. This newly constructed building is the first of four state-of-the-art 50-megawatt Bitcoin mining facilities planned for the site.
The Cedarvale site can accommodate 15,552 Bitcoin mining rigs, utilizing new and relocated equipment for maximum efficiency.
Once fully functional, the site will host about 66,000 miners powered by 215 megawatts of electricity, boosting the company’s total capacity to seven exahash as of July 31, 2024.
As of the end of July, Ionic Digital reported holding 1,891.68 Bitcoins.
