It is now exactly clear what will happen to the tokens of those users who had their XRP holdings on the now-defunct Celsius platform during the snapshot event
The users of Celsius, a failed cryptocurrency lending platform, might still receive their Flare tokens after today’s distribution event, according to attorney John Deaton.
Deaton has attached a motion for XRP holders who had their tokens on Celsius during the snapshot event.
The motion is seeking an order authorizing the debtors to credit Flare tokens to all eligible accounts.
A court hearing will be held on Jan. 24 before Chief Bankruptcy Judge Martin Glenn. The hearing will be conducted via Zoom.
Flare Networks CEO Hugo Philion says that he hopes that the motion will be granted by the court.
As reported by U.Today, the embattled lender filed for bankruptcy protection in July after unexpectedly suspending withdrawals. Later, it turned out that the company had a $1.2 billion hole in its balance sheet.
The snapshot of balances of XRP holders took place all the way back in December 2020.
After two years, Flare Network finally kicked off its airdrop in late 2022, onboarding major exchanges.
The distribution event will finally take place later today after years of anticipation.
However, it is unclear what will happen to the tokens of those users who had their XRP holdings on the now-defunct Celsius platform.