At least five companies have made bids for Celsius Network cryptoassets, including Binance, Bank To The Future and Galaxy Digital, according to leaked information shared by cryptoblogger Tiffany Fong.
Fong, who gained notoriety after several exclusive interviews with Sam Bankman-Fried following the collapse of FTX, documents such published, which he claims to have obtained on December 20. These documents “contain detailed offers for Celsius Network cryptoassets”.
In a Substack post, Fong explained that he initially refrained from leaking the bids to avoid disrupting the bidding process. But recent comments made by the lawyer representing Celsius prompted him to share them with everyone.
“I have refrained from publicly sharing bids to avoid disrupting bidding processes or negatively impacting refunds to customers. However, at the January 24th Celsius Network court hearing, Kirkland & Ellis attorney Ross M. Kwasteniet stated that the offers were not convincing” Fong explained.
Bidders shared by Fong include crypto exchange Binance, online investment platform Bank To The Future, digital asset investment firm Galaxy Digital, crypto trading firm Cumberland DRW, and digital asset investment firm NovaWulf.
According to Fong, bids for these crypto companies were submitted in November, but all were rejected. The blogger also shared that Binance made a $15 million bid for the assets. Of these, $12 million were earmarked for the Celsius property, and $3 million for “they would have been distributed proportionately among the migrated users“.
In its purported summary term sheet, Binance agreed that “all liquid cryptos would be bought and transferred to their own platform at fair market value.”
Galaxy Digital proposed to purchase all illiquid and staked Ether assets for approximately $67 million.
Meanwhile, Bank To The Future’s proposal detailed that all liquid cryptoassets and collateral would have returned to lenders proportionately under Bank To The Future’s control.
The parties involved in Celsius’ bankruptcy proceedings were unaware of the offers
Meanwhile, in a tweet on January 26, Bank To The Future CEO Simon Dixon confirmed that the contents of the leaked offers for his company were accurate.
Fong noted in the blog post that he is aware of only these five offers for Celsius cryptoassets. He added that Novawulf’s offer “is particularly interesting“, as it shows quite a similarity to “a Celsius Network with its newly proposed restructuring plans”.
Fong also said that he spoke with several Celsius Network employees, and to his surprise, most employees were not even initiated into the offers. He added that even senior managers were not aware of this information. Fong thus confirmed that lenders and even most employees were completely excluded from learning about offers for cryptoassets.
Fong doesn’t know how things will play out, but believes lenders deserve more transparency. They have the right to see bids for assets that they have placed on the platform.
Binance declined to comment on the matter, saying “it is our policy not to comment on speculation, rumors or pending transactions”.
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