{"id":5002,"date":"2023-05-24T03:00:41","date_gmt":"2023-05-24T07:00:41","guid":{"rendered":"https:\/\/sikaoer.com\/core-scientific-moves-for-september-bankruptcy-exit-expects-46m-boost\/"},"modified":"2023-05-24T03:00:41","modified_gmt":"2023-05-24T07:00:41","slug":"core-scientific-moves-for-september-bankruptcy-exit-expects-46m-boost","status":"publish","type":"post","link":"https:\/\/sikaoer.com\/core-scientific-moves-for-september-bankruptcy-exit-expects-46m-boost\/","title":{"rendered":"Core Scientific moves for September bankruptcy exit, expects $46M boost"},"content":{"rendered":"
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A restructuring plan for bankrupt Bitcoin (BTC) miner Core Scientific could be finalized by September and it expects to exit proceedings with an additional $46 million due to recent favorable market conditions.<\/p>\n
In a May 22 filing in a Texas Bankruptcy Court, Core Scientific\u2019s lawyers said its liquidity position has improved considerably since it filed for bankruptcy and as a result, it plans to file a reorganization plan in the near future.<\/p>\n
The plan is currently being negotiated with key stakeholders, and according to the filing, the firm is \u201cseeking to build as much consensus as possible\u201d about how a new Core Scientific would look after emerging from its bankruptcy proceedings. <\/p>\n A Chapter 11 bankruptcy allows a firm to continue operating until stakeholders are able to agree on a restructuring plan which could involve measures such as the downsizing of business operations to reduce debt or the liquidation of assets to repay creditors.<\/p>\n The firm pointed to decreasing power costs, increasing Bitcoin prices and an increase in the blockchain\u2019s hashrate as the primary market factors contributing to its liquidity boost.<\/p>\n On Dec. 21, 2022, when Core Scientific filed for bankruptcy, Bitcoin\u2019s price was $16,904,\u00a0according to CoinMarketCap. Since then, the price has shot up by over 60%, currently sitting at around $27,000. <\/p>\n Additionally, power prices have decreased by 24% since the petition date according to the filing, while the network hashrate has jumped by 54%.<\/p>\n Related: <\/strong>FTX 2.0 launching soon? Court filing shows a reboot plan in the works<\/strong><\/p>\n As a result of more favorable market conditions, Core Scientific estimates it will have an additional $46 million in funds once a restructuring plan is finalized, despite delays in the bankruptcy proceedings.<\/p>\n The miner is also expecting a significant windfall from Celsius Network claiming the bankrupt crypto lender owes it some $11 million.<\/p>\n The two firms are currently engaged in a lengthy court battle that began on Oct. 19, 2022, when Core Scientific first accused Celsius of failing to pay its power bills.<\/p>\n Web3 Gamer: Illuvium controversy, Aurory Prologue review, Fornite CEO salty, Assassin\u2019s Creed NFTs <\/strong><\/p>\n<\/div>\n