Although Flare Network’s airdrop has already concluded, XRP holders who had their tokens on the now-defunct cryptocurrency lending platform Celsius Network during a snapshot event might still be eligible to receive their share of the FLR tokens.
Indeed, on January 9, attorney John E. Deaton shared a notice of the court hearing regarding the motion of the debtors to authorize an airdrop of Flare tokens to all eligible accounts. The hearing before the Chief United States Bankruptcy Judge Martin Glenn is set to be held via Zoom on January 24.
Commenting on the motion, Flare Network’s CEO Hugo Philion, expressed his hope that the judge would approve it, while Deaton added that “XRP on Celsius Network on the day of the snapshot will hopefully receive the airdrop.”
Flare promises to launch airdrop
Over two years since the snapshot of XRP holders’ balances on Celsius Network was taken in December 2020, these holders were waiting to find out if and how much FLR they would get in the promised airdrop by Flare (formerly known as Spark).
In October 2022, Flare Network finally made the announcement that it would airdrop 15% of the claimable token to the eligible holders, but the airdrop event, supported by dozens of crypto exchanges, has come and gone, leaving many XRP holders out of the airdrop.
As a reminder, Celsius Network filed for bankruptcy in July 2022 after halting user withdrawals out of the blue, upon which it was revealed that its balance sheet was short by close to $1.2 billion, and was also accused of misleading investors.
Other legal proceedings in crypto community
Meanwhile, the XRP community is paying close attention to another, more publicized court proceeding in which the United States Securities and Exchange Commission (SEC) is suing the XRP issuer and blockchain company Ripple Labs for selling the token that the finance watchdog considers a security.
On January 9, defense lawyer James K. Filan shared Ripple’s opposition to the SEC’s motion to seal certain documents filed in connection with both parties’ cross-motions for summary judgment, making argumentative points regarding the expertise of the SEC’s witnesses and the Hinman emails’ eligibility.
At the same time, the crypto community is waiting on the result of the bankruptcy proceedings around the now-collapsed crypto trading platform FTX as its founder and former CEO Sam Bankman-Fried is facing allegations of fraud in court.