Celsius’ lead investor BnkToTheFuture has outlined three proposals to save Celsius from bankruptcy while finding a good outcome for shareholders and depositors with funds stuck on the platform.
Shared on Twitter by BnkToTheFuture CEO Simon Dixon on June 30, the three distinct proposals include either two options of restructuring and relaunching Celsius, or potentially co-investing in the platform alongside wealthy Bitcoin Whales.
“Proposal #1: A restructuring to relaunch Celsius and allow depositors to benefit from any recovery through financial engineering.
Proposal #2: A pool of the most influential whales in Bitcoin to co-invest with the community.
Proposal #3: An operational plan that allows a new entity and team to rebuild and make depositors whole.”
Dixon previously referred to “financial innovation” being needed to be applied to Celsius, similar to the issuance of equity debt tokens like in the case of Bitfinex in 2016, which were designed to represent $1 of debt per token.
“We believe all attempts should be made to make depositors whole in order to maintain shareholder value,” the team wrote, adding it will be calling for a shareholder meeting that “legally cannot be ignored by the Celsius board.”
“Bnk To The Future Capital SPC holds over 5% of Celsius shares and therefore we believe that this allows us to call a shareholder meeting as part of our statutory shareholder rights that legally cannot be ignored by the Celsius board.”
#DepositorsFirst Celsius Recovery Plan https://t.co/YkGy3N0Gwd
— Simon Dixon (Beware Impersonators) (@SimonDixonTwitt) June 30, 2022
BnkToTheFuture also suggested that after first submitting these proposals to Celsius and its advisors, is it now looking to “apply pressure” to the firm after getting “worried that time was running out” with its lack of a distinct plan of action. These sentiments were also echoed by Dixon in a Digital Assets News Interview on the same day:
“You have to move really fast, because the longer you go on, the more FUD comes out, bad PR comes out, more predatory offers come out, the more the community stops believing in what they originally believed in.”
Celsius’ users have been unable to withdraw assets from the platform since June 13 amid the firm’s ongoing liquidity issues, and there are fears that users may never get their funds back if the company were to go bankrupt.
Celsius may have its own solution
In a blog post from July 1, Celsius stated that it is…
Click Here to Read the Full Original Article at Cointelegraph.com News…
