Court approves Compute North’s restructuring strategy in bankruptcy

  • Ultramining.com
  • 17 February, 2023 17:49
Court approves Compute North’s restructuring strategy in bankruptcy

A bankruptcy court has decided to approve a restructuring process that involves BTC miner Compute North. Contracts had previously been signed to settle debts by $250 million.

Compute North used to be one of the biggest companies, providing hosting services and cryptocurrency mining. However, the crypto-winter left it with no chance of survival. It was announced in the autumn that the miner would no longer be able to fulfill its obligations.

However, the debtor managed to close the issues regarding the obligations, even though the number of major creditors was at least 11. Note that Marathon Digital is also there. The last 3 agreements were reached almost right before the court session and these counterparties were Decimal Digital, Corpus Christi Energy Park, and BitNile.

The plan includes a definitive list of companies and how the company’s other assets will be distributed to them. Specifically, Foundry and US Bitcoin Corp. will take over management of part of the bankrupt Compute North’s data centers.

Lenders will save ownership of other assets. Containers and transformers, for example.

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