#celsius

Some clients of the defunct crypto platform Celsius intend to challenge the restructuring plan in court, dissatisfied with the allocation of assets among creditors. Those with locked cryptocurrency collateral are particularly unhappy, feeling they have received insufficient compensation.

On the morning of July 13, Alex Mashinsky, the former CEO of the now-bankrupt crypto lender Celsius, was reportedly arrested. The news broke minutes after the United States Securities and Exchange Commission filed a lawsuit against the crypto lender on the same day. The company’s token dropped 6% upon hearing the news. The former CEO was arrested following an investigation into the company’s collapse. Celsius Network initiated the process of filing for bankruptcy on July 14 of the previous year. Investigators at the Commodity Futures Trading Commission found Mashinsky guilty of breaking numerous U.S. regulations prior to the company’s implosion in 2022. The investigation into the troubled crypto lender began after the New York Attorney General sued Mashinsky on January 5. The lawsuit alleged that the former CEO misled investors and caused billions of dollars in losses.

Tether's (USDT) chief technology officer Paolo Ardoino claims that the project never received loans from the bankrupt lending platform Celsius. His response came in the aftermath of Celsius' bankruptcy report, in which Tether was listed as "infected" alongside 3AC and Alameda Research. User, get your USDT back before you blow it all on shitcoins!

Loans were issued against mining equipment. The creditor has about 68,000 of them, as of today. The company started selling last year. Unfortunately, some loans have already been declared default. The average price of BlockFi's credit ASIC miner is $2,350 and ASIC's current market value is $1,400. The total companies' debt to the industry in similar loans is estimated at $4 billion. Apart from BlockFi, loans were also issued to NYDIG, Celsius Network, Foundry, Babel Finance, and Galaxy Digital.

Mining company Ionic Digital, which acquired assets from the defunct Celsius platform, postponed its initial public offering (IPO) after losing its CEO and auditor. However, the company’s management remains committed to its plans to go public.

The bankrupt crypto company Celsius has announced the conclusion of its bankruptcy proceedings. They are set to begin distributing over $3 billion in both crypto and fiat currency to their creditors.