Bankruptcy Update: What Celsius Creditors Need to Know

Bankruptcy Update: What Celsius Creditors Need to Know

An update for creditors on the Celsius bankruptcy case. 


  • Celsius filed for bankruptcy protection in July 2022.

  • Celsius aims to emerge from bankruptcy by selling its assets and restructuring its operations.

  • NovaWulf LLC initially placed a bid for Celsius Network's assets and were appointed the winning bid by Celsius’ committee of unsecured creditors.

  • However, competing offers were subsequently submitted by Fahrenheit and the Blockchain Recovery Investment Consortium (BRIC), which surpassed NovaWulf LLC’s initial bid amount.

  • Fahrenheit LLC was recently selected as the winning bidder for Celsius’ bankruptcy exit and will proceed with managing the NewCo. entity to be owned by its creditors.
  • Celsius has also secured a backup bid from the Blockchain Recovery Investment Consortium (BRIC). 

Who are Fahrenheit LLC?

Crypto Consortium Celsius has won the bid to acquire bankrupt crypto lender Celsius Network. The winning consortium, called Fahrenheit, is backed by Arrington Capital and other partners including US Bitcoin Corp, Steven Kokinos, Ravi Kaza, and Proof Group.

  • Under the proposed plan, Celsius account holders will own 100% of the equity in NewCo. The company will be governed by a fresh board of directors, with a majority of the members appointed by the creditors.

  • The consortium will acquire Celsius's staked cryptocurrencies, institutional loan portfolio, mining unit, and additional alternative investments.

  • The newly formed company will receive a significant amount of liquid cryptocurrency, estimated to be up to $450 million.

  • The bid still requires regulatory approval before it can be finalized. 

What should Celsius creditors expect?

  • To get out of bankruptcy, Celsius will have to pay all of its administrative expenses in full. The remaining amount of liquid crypto would be distributed to creditors. It’s expected that shareholders and creditors will receive equity in the NewCo. 

  • The new drop dead date for filing the revised Disclosure Statement is June 30, 2023. 

  • The court will then need to set a Disclosure Statement hearing date and upon approval of the Disclosure Statement, will set a timeline for the plan confirmation.

How do you onboard your Celsius claim to OPNX?

  1. Complete KYC verification on OPNX.

  2. Ensure you have deposited sufficient funds to cover the upfront 26 USDT court processing fee. Upon filling out information to start your application, you will then be directed to the Heimdall website to complete your application by providing the required claim details to determine your transfer eligibility.

  3. After reviewing your application, we will notify you of your eligibility status. You may track the changes of your application status in your Claim Dashboard.

    (For a typical claim submission, we anticipate being able to verify the application within hours. However, please be aware that verification time may vary depending on the volume of applications received at any given time.)

  4. If you are deemed eligible, you will be required to sign a claim transfer agreement in the Heimdall claim portal.

  5. Following the transfer, Heimdall will take control of your estate account and conduct a final verification check.

  6. Once your transfer is approved, you will receive OPNX credit (e.g. Celsius claim tokens).

Before onboarding your claim, it’s important for Celsius creditors to be aware of the following:

  • You must only have an Earn Account Balance

  • Your Celsius Earn claim must have a minimum balance of USD $2,000

  • Verification will be carried out to determine you are the actual holder of a Celsius Earn claim. You may not submit claims on behalf of another individual.

  • You must have email + password enabled access to your Celsius Account. One-click logins will not be accepted.

  • There is a non-refundable 26 USDT court processing fee payable at the start of the onboarding process.

  • If your claim is deemed Eligible and you opt to tokenize your claim, up to 5% of the claim tokens minted will be retained for Heimdall the Treasury as a tokenization fee. You will have the option to reduce this fee by up to 80% by paying with OX tokens.* 

Onboard your Celsius claim and start trading on OPNX today!


Celsius Updates from Stretto

OPNX Claims Factsheet