The bankrupt cryptocurrency platform Celsius is trying to pay off its debts through mining

The bankrupt cryptocurrency platform Celsius hopes to repay its debts by mining through its subsidiary Celsius Mining, it was announced on July 18 during the first court hearing in the Celsius bankruptcy case.

According to Soindesk journalists, Chief Bankruptcy Judge Martin Glenn of the Southern District of New York approved the request of Celsius representatives to continue mining cryptocurrencies to recover almost $ 1.2 billion in customer funds. «If all goes well, we hope to mine approximately 15,000 bitcoins per day in 2023,» said Celsius general counsel Pat Nash (probably Nash meant 15,000 BTC per year, as currently only 900 BTC can be mined per day).

As a reminder, Celsius recently declared its own bankruptcy and reported that its liabilities exceeded its assets by almost $ 1.2 billion. Some analysts also emphasized that the sale of mining equipment by Celsius' subsidiary could lead to a drop in miner prices and increase negative pressure on the market. Industry analysts have suggested that Celsius Mining may sell about 120,000 miners to raise funds. This could reduce the price of the equipment. If the value of miners and bitcoin drops sharply, the cryptocurrency market may collapse.