According to CoinDesk, creditors of bankrupt crypto lender Celsius have voted to approve a plan that would return 67%-85% of holdings back to them. The plan, detailed in a voting declaration filing by restructuring specialist Stretto, is awaiting final approval from the court. Objections to the plan have been raised, including from the U.S. Trustee. The U.S. Bankruptcy Court for the Southern District of New York will hold a confirmation hearing for final approval on Oct. 2.

The majority of the classes in the bankruptcy claim were passed with over 98% of votes in favor of the reorganization, which would also see the sale of assets to crypto consortium Fahrenheit Holdings, including Arrington Capital and miner U.S. Bitcoin Corp. Fahrenheit won a bid to acquire the insolvent lender Celsius Network in May 2023. This vote marks another step towards the end of Celsius' bankruptcy and the return of funds to customers.

Celsius filed for bankruptcy in July last year, and its CEO Alex Mashinsky resigned in September 2022. In July 2023, Mashinsky was arrested on fraud charges and for manipulating the price of the CEL token, which he has denied. As Mashinsky was arrested, Celsius made a $4.7 billion settlement with the U.S. over fraud allegations and stated that this would not affect reorganization plans. Mashinsky was later released on a $40 million bond, and a court recently ordered his banking and real estate assets frozen.