Celsius' mining arm announces $1.3M sale of equipment

Celsius' mining arm announces $1.3M sale of equipment

January 13, 2023

The mining arm of crypto lender Celsius Network has issued a notice for the sale of $1.3 million worth of mining equipment as part of its bankruptcy case.

In a Jan. 11 filing with the United States Bankruptcy Court of the Southern District of New York, Celsius said it will be selling 2,687 MicroBT M30S ASIC rigs to investment firm Touzi Capital. Touzi, which invests real estate and blockchain, will pay Celsius Mining more than $1.3 million for the miners, located at a Texas facility.

According to Celsius, Touzi made the best offer for the miners following discussions with “several brokers and market participants”. The lending firm announced in January that Core Scientific had shut down more than 37,000 Celsius-owned mining rigs the firm had been hosting.

Celsius filed for Chapter 11 bankruptcy in July 2022, leaving a reported $4.7 billion in user deposits locked up on the platform. In a December court ruling, a federal judge said Celsius had until Feb. 15 to file a restructuring plan.

Related: Mining Bitcoin at home — Is it time to start? Market Talks

The United States is the global leader in the Bitcoin (BTC) hash rate, which was more than 37% as of December 2021 according to data from the Cambridge Bitcoin Electricity Consumption Index. However, the crypto market crash in 2022 affected the profitability of mining, as has extreme weather events requiring facilities to curtail operations.

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