Holdnaut co-founders opt to sell bankrupt crypto lender News ▸ Singapore ▸ Bankruptcy
Holdnaut co-founders opt to sell bankrupt crypto lender
Simon Lee said that selling Hodlnaut instead of liquidating its assets will help maximize value for its creditors.
1 min read
Updated: Jul. 24, 2023 at 6:51 pm UTC
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Simon Lee and Zhu Juntao, co-founders of bankrupt crypto lender Hodlnaut have reportedly submitted a proposal to sell their business instead of liquidating its assets.
Holdnaut filed for bankruptcy protection back in August, after losing approximately $190 to the Terra-Luna collapse. An interim judicial manager was appointed to manage its affairs and figure out how best to compensate investors.
Hodlnaut’s interim manager had earlier proposed a restructuring plan that would pool together the company’s assets and issue a new token to creditors.
In response, a group of Hodlnaut creditors rejected the restructuring plan stating that their interest will be best served if the company is liquidated.
Hodlnaut co-founders Simon Lee and Zhu Juntao have submitted an affidavit to the court seeking to sell the business instead of liquidating its assets, Bloomberg reports on March 1.
Lee said that selling the crypto lender will help maximize value for its creditors and increase the user base of its investors.
“Hodlnaut user base can be acquired and on-boarded on digital-asset platforms owned or affiliated to such investors,” Lee added.
Lee and Juntao are reportedly in talks with potential investors to finalize the details of selling the bankrupt crypto lender.
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Christian Nwobodo
Christian is a crypto-curious nerd who loves to investigate how protocols work under the hood. Christian is interested in DeFi protocol research, token economics, and on-chain analytics.
