Galaxy Digital Holdings Ltd. × Celsius Network LLC
As part of its Chapter 11 bankruptcy proceedings, cryptocurrency lender Celsius Network sold its subsidiary GK8, a self-custody technology platform it had previously acquired for $115 million in 2021. [44, 46] Galaxy Digital was the winning bidder in the bankruptcy auction, acquiring the platform for approximately $44 million in a deal announced in December 2022 and finalized in February 2023. [43, 47, 48] The sale was for GK8's assets, including its technology and team, rather than an equity sale, to insulate the assets from Celsius's broader creditor claims. [48]
The asset
The acquisition of substantially all assets of GK8, a secure institutional digital asset self-custody platform, including its technology and a team of approximately 40 people. [43, 47]
- 40 employees
The record
- Seller status
- Chapter 11
- Sector
- cryptocurrency lending
- Modalities
- software, intellectual_property
- Jurisdiction
- US
- Docket
- 22-10964
What it means if you hold data
This transaction demonstrates how valuable technology and intellectual property assets can be salvaged from a bankrupt entity, even at a significant discount from their prior acquisition price. For data-focused investors, it highlights the opportunity to acquire sophisticated technology platforms and specialized engineering teams through distressed asset sales.