Bankrupt crypto lender Celsius is attempting to call in a more than $6 million from an $8 million investment commitment made by VC firm Fabric Ventures.

Fabric was set to invest more than $8 million in Celsius's Series B round, spread across three payments, according to a court document filed Tuesday. Celsius said it had closed its extended Series B in November 2021, boosting a $400 million round to $750 million at a $3.25 billion valuation.

Following a schedule agreed in April last year, Fabric's first payment of $2 million was made in May. The subsequent payments were supposed to be $2 million in June and $4 million in July.

The arrangement did not go to plan. The beleaguered lender filed for bankruptcy in July, roughly a month after halting client withdrawals and trapping billions of dollars across more than a million accounts. Recent court documents showed that Celsius's liabilities were more than $6.7 billion and its assets were worth only around $3.9 billion, resulting in a balance sheet hole of $2.8 billion.

"This action seeks damages in the amount of the two outstanding payments, $6,003,379, plus interest, fees and other relief specified below," the newly filed court document states.

Initial investment

Correspondence in the court document shows that Fabric had also attempted to claw back its initial $2 million advance pending completion of the investment, as news of trouble at Celsius spread.

Celsius did not respond to a request for comment. Fabric declined to comment.

The move is the latest in a long-running bankruptcy process which is being shepherded by U.S. law firm Kirkland & Ellis for Celsius. Last week, documents showed that the lender has set about selling its bitcoin mining equipment for $1.3 million. It is letting go of nearly 2,700 "new-in-box" MicroBT M30S units, according to a Jan. 11 notice of sale filed with the U.S. Bankruptcy Court for the Southern District of New York.