Bloomberg – American tycoon Sam Bankman-Fried, who has rescued struggling crypto industry players in recent months, eplans to bid for assets of bankrupt lender Celsius Network, according to someone familiar with the negotiations.
In addition to its lending business, Celsius, which filed for bankruptcy in July, has significant bitcoin mining operations and a cryptocurrency custodial business. It is unclear whether crypto firms Bankman-Fried (the FTX platform or trading firm Alameda Research) plan to bid for some or all of Celsius’ assets.
FTX is also in the process of raising a $1 billion funding round, the same person said on condition of anonymity. This cycle has not yet been closed or made public.
Bankman-Fried has already recovered the assets of the bankrupt brokerage company Voyager Digital Ltd. in a deal valued at around $1.4 billion. At the beginning of this year, FTX supported crypto platform BlockFi and was exploring a possible acquisition of Robinhood Markets Inc., in which Bankman-Fried has a stake. The billionaire is estimated to own more than 50% of FTX US and almost all of Alameda.
Celsius chief executive Alex Mashinsky resigned on Tuesday, and the company and its creditors are considering a number of alternatives, ranging from restructuring to liquidation. In August, the company said it had received several offers frome fresh money pto help finance its restructuring process.
Learn more at Bloomberg.com