Failed Crypto Lender Celsius Network Cleared to Exit Bankruptcy

Failed crypto lender Celsius Network LLC won bankruptcy court approval of its plan to transform into a creditor-owned Bitcoin mining firm as part of a broader proposal to repay customers whose accounts have been frozen for more than a year.

US Bankruptcy Judge Martin Glenn said Thursday he would confirm Celsius’ plan to repay customers through a combination of cryptoassets and stock in the new, publicly listed Bitcoin mining company. Celsius lawyers have said the platform could start distributing assets early next year.

The ruling is a major milestone for Celsius, which went bankrupt last year amid a downturn in ...