Celsius Faces Class Action Lawsuit Over Crypto in Custody
iHodl.com
Main page News, Crypto Market, Regulations

Troubled cryptocurrency lending firm Celsius Network is facing a class action lawsuit from 64 customers over $22.5 million worth of crypto stored in custody service.

Subscribe to our Telegram channel to get daily short digests about events that shape the crypto world

According to a lawsuit, filed with the US Bankruptcy Court for the Southern District of New York, creditors want to get their crypto back, which was stored in custody, which means that Celsius should have kept these assets separately from its main capital. As per terms of use, Celsius had no right to use assets stored in custody for its purposes. The hearing on the complaint is scheduled on September 1.

US Law Firm Files Class Action Lawsuit Against Celsius Network

Celsius filed for bankruptcy under Chapter 11 of the US Bankruptcy Code in July this year. The company says the restructuring will help it "maximize value for all stakeholders."

Access more than 50 of the world's financial markets directly from your EXANTE account – including NASDAQ, London Stock Exchange and Tokyo Stock Exchange

Read also:
Please describe the error
Close