The native token of the Celsius Network (CEL) showed significant price growth following the company's announcement of a $2.5 billion debt repayment plan.
Rise in Celsius (CEL) Token Value
The native token of the Celsius Network saw an increase of over 300% in price over the month following the announcement of repayments to over 250,000 debtors. As of August 26, the CEL token's price was $0.16, reaching $0.65 by September 23. At the time of publication, the token's price had decreased to $0.46. It is worth noting that in June 2021, the token reached an all-time high of $8.05, which is 1,287% higher than the current values.
Debt Repayment to Creditors
On August 26, Celsius repaid approximately $2.53 billion to 251,000 creditors, according to a court document. Over 84% of the assets owed to creditors had already been paid. Despite this, some creditors have yet to claim their digital assets.
Remaining Debts
According to the document, 64,000 remaining creditors have cryptocurrency assets worth less than $100 and have not yet claimed them. Meanwhile, 41,000 individuals owe between $100 and $1,000 in cryptocurrency. The small amounts owed may deter creditors from following the necessary procedures to claim their share.
The total number of distributions for qualified creditors has exceeded 2.7 million. Celsius filed for bankruptcy in July 2022.
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