Judge Pauses Galaxy’s $44 Million Deal to Buy Celsius Assets

A US bankruptcy judge declined to immediately approve Galaxy Digital’s deal to buy a Celsius Network subsidiary for $44 million, demanding more details about the structure of the sale.

Judge Martin Glenn said he was “blindsided” by a provision in the sale documents that would transfer potential legal claims from Celsius to Galaxy. At a hearing Thursday, he asked Celsius lawyers to provide additional evidence about the value of the claims, which relate to hypothetical clawbacks tied to GK8, the crypto custody subsidiary being purchased.

Celsius bought GK8 a little more than one year ago for $115 million. Since ...