Celsius, Core Scientific To Settle Existing Litigation: What Are The Terms?

Zinger Key Points
  • An agreement was announced between Celsius and Core Scientific to settle a long-ongoing legal dispute.
  • The bankruptcy filings of both the companies are yet to receive approval in the respective filed court jurisdictions.

Crypto mining providers Celsius Mining, the Bitcoin mining subsidiary of Celsius CEL/USD, and Core Scientific CORZQ have reached a settlement deal for a long-standing legal dispute.

The agreement between the two companies is to sell Core Scientific’s Ward County, Texas (Cedarvale) Bitcoin mining data center site to Celsius and settle all existing litigation between the two parties for a total cash consideration of $14 million. The mutually agreed value of the site is $45 million.

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“This outcome was made possible through the collaboration of Celsius and U.S. Bitcoin Corp, which played a key supporting role in structuring and executing the transaction. We are pleased to settle all existing litigation and look forward to focusing on expanding the Cedarvale capabilities and completing the site,” Celsius Network Chief Restructuring Officer and Interim CEO Chris Ferraro commented.

Also Read: Celsius Revamps Board, Welcomes Ex-Algorand CEO, Top Financial Execs

U.S. Bitcoin Group (USBTC) will manage the construction of the 215 MW Cedarvale facility. USBTC will also be looking into scaling and optimizing Celsius’ mining business.

The Cedarvale site transaction does not affect Core Scientific’s mining fleet and the site is not included in its three-year roadmap, which was filed publicly in June 2023.

The deal remained yet to be approved by Texas and New York judges.

In July, Core Scientific’s self-mining operations produced 965 Bitcoin and 9,756 Bitcoin year to date through Aug. 31, 2023. It is more than any other listed Bitcoin miner in North America.

To find out similar statistics about other crypto miners, meet and engage with transformative Digital Asset and Crypto business leaders and investors at Benzinga's exclusive event, Future of Digital Assets. Tickets are flying: Get yours!

Photo: Shutterstock


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Posted In: CryptocurrencyFintechNewsLegalMarketsbitcoin miningCelsius Miningcrypto minerscrypto minningnLitigation
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