Crypto lending platform Celsius has apparently hired lawyers from Kirkland & Ellis LLP to recommend its restructuring options — exactly the same firm that aided Voyager Digital using its personal bankruptcy filing a week ago.
Based on a study in the Wall Street Journal on Sunday, the organization has hired lawyers to recommend options, together with a personal bankruptcy filing instead of the formerly hired law practice Akin Gump Strauss Hauer & Feld LLP.
Kirkland & Ellis LLP describes itself being an worldwide law practice that serves clients privately equity, M&A, along with other corporate transactions, getting been founded in 1909.
What the law states firm has additionally been drawn on as general personal bankruptcy counsel for Voyager Digital in the personal bankruptcy proceedings, so it filed within the Southern District Court of recent You are able to on This summer 5, days after pausing buying and selling, withdrawals and deposits on liquidity issues.
Despite ongoing concerns the crypto loan provider may consume a similar path, Celsius has ongoing to wind lower its financial obligations to decentralized finance (DeFi) lending protocols, getting just compensated off 20 million in USD Gold coin (USDC) to Aave.
The most recent loan repayment was selected up by blockchain analytics firm Peckshield on Sunday, discussing a screenshot from the 20 million USDC transfer from the Celsius wallet to Aave Protocol v2.
#PeckShieldAlert Celsius (0x8ace…130ee8) has paid back 20m $USDC on Aave pic.twitter.com/U7h1Lvyy5x
— PeckShieldAlert (@PeckShieldAlert) This summer 11, 2022
DeFi tracking platform Zapper shows that Celsius still owes roughly $130 million in USDC and $82,500 in Ren (REN) to Aave, together with $85.two million in Dai (DAI) towards the Compound protocol, having a total debt of $215 million.
A week ago, the lending platform compensated off its remaining $41.two million debt to Maker protocol on Thursday, creating more greater than $500 million in Wrapped Bitcoin (wBTC) collateral.
Related: Tether liquidates Celsius position with ‘no losses’ to stablecoin issuer
Having to pay lower debt has been seen an optimistic for Celsius’ depositors, who haven’t been in a position to access their crypto funds since withdrawals stopped on June 13 and fear a loss of revenue of the funds when the company would go under.
A week ago, crypto lawyer Joni Pirovich told Cointelegraph that Celsius’ repayment of their loan position would ultimately assist its customers, because it would release capital that could be employed to meet customer withdrawal demands.
Pirovich added that even when Celsius files for personal bankruptcy, repaying its loan position and withdrawing collateral could enhance the situation of their customers.
