Bankrupt crypto lender Celsius Network’s legal and advisory expenses have reportedly exceeded the $144M mark.
As per the data compiled by developer Cam Crews, the lawyers and advisors responsible for aiding Celsius’ bankruptcy proceedings have already filed $102M in fees.
Crews noted that Kirkland & Ellis’ fees until December 2022 alone accounted for 33% (or $31M) of the $144M sum. Similarly, White & Case have billed Celsius $20.8M for their services until January 2023.
The developer further revealed that the filings submitted by Celsius’ advisory firms had some “missing months,” with the combined expenses for these months amounting to $42M.
Crews' tweet on the high litigation expenses received a lot of response from the community, with many accusing the lawyers of charging exorbitant fees for their services. Responding to a question the NewCo (the firm meant to replace Celsius), he noted,
“As I understand it, the "debtors in possession" will exist until bankruptcy is exited or transitioned to a trustee. Celsius still has a management team in place (lead by Chris Ferraro) and a special committee of Barse and Carr that oversees them.”
Meanwhile, Celsius recently reopened withdrawals for custody account holders with less than $7575 worth of asset transfers on its platform.
The bankrupt lender also reported an undisclosed amount of exposure to the failed Signature Bank. Celsius soon announced that it will transfer the assets stored in Signature Bank to other depositories, adding,
“We believe that all our requests to transfer funds out of Signature Bank will be honored and that no funds will be lost.”
Written by
Ayush Pande
Ayush Pande is a hardware, gaming, and crypto writer based in India. He's a tech enthusiast who's fascinated by the potential of blockchain technology.
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