The mining arm of cryptocurrency lender Celsius Network has issued notice of the sale of $1.3 million worth of mining equipment as part of bankruptcy proceedings.
On January 11, Celsius said it would sell 2,687 MicroBT M30S ASIC platforms to investment firm Touzi Capital in the US Bankruptcy Court for the Southern District of New York on January 11. Touzi, which invests in real estate and blockchain, Celsius Mining will pay more than $1.3 million to miners housed in a facility in Texas.
According to Celsius, Touzi made the best offer to miners after discussions with “various brokers and market participants.” The lending company announced in January that Core Scientific had shut down more than 37,000 company-owned mining rigs that hosted it.
Celsius filed for Chapter 11 bankruptcy in July 2022, leaving $4.7 billion in user deposits locked on the platform. In a December court ruling, a federal judge said Celsius had until February 15 to submit a restructuring plan.
The United States is the world leader in bitcoin (BTC) hash rate, which topped 37% in December 2021, according to data from the Cambridge Bitcoin Electricity Consumption Index. However, the cryptocurrency market crash in 2022 affected mining profitability, as well as severe weather events that required facilities to scale back operations.
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