It was alleged that Celsius executives purportedly involved Wintermute to facilitate “wash trading” in an effort to “fraudulently” manipulate trading volumes on the Celsius platform. Creditors of bankrupt cryptocurrency lending platform Celsius have alleged that crypto market maker, Wintermute, assisted Celsius executives in manipulating the price of CEL (CEL) through improper market trading. According to…
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Celsius Network co-founder and former CEO Alex Mashinsky has denied any wrongdoing and shrugged off blame for the collapse of the crypto lender. In a Tuesday filing, Mashinsky’s lawyers called claims by New York Attorney General Letitia James that he misled investors about the financial health of Celsius while he was chief executive “baseless” and rooted…
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Creditor Tiffany Fong has argued that she hasn’t done anything wrong, asserting that she didn’t break any non-disclosure agreements by reporting on the leaked information. A court filing indicates that bankrupt crypto lender Celsius Network either intended to, or is potentially looking at taking legal action against crypto blogger and Celsius creditor Tiffany Fong over…
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Digital asset investment firm NovaWulf Digital Management has reached a deal with crypto lender Celsius to buy its lending operations and help bring an end to its bankruptcy case. Debtors of Celsius Network have presented the sale plan to the U.S. Bankruptcy Court of the Southern District of New York. The plan has the support of Celsius’…
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The bankrupt crypto lender Celsius is taking legal action against its former CEO Alex Mashinsky and a number of others to seek the return of “millions of dollars.” According to court documents published this week, Mashinsky, Celsius co-founder S. Daniel Leon and several others engaged in “negligent, reckless, and self-interested conduct” during their time at…
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The defunct crypto lender Celsius is exploring the possibility of creating a debt token to repay creditors. The plan would need to be approved by regulators, but if approved by the trustee and financial authorities, the debt token would be called an “asset share token (AST).” Celsius Proposes ‘Asset Share Token’ as Plan to Repay…
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On Jan. 5, 2023, the state of New York and attorney general Letitia James filed a lawsuit against Alex Mashinsky, the co-founder and former CEO of Celsius. The lawsuit claims that Mashinsky and Celsius defrauded “hundreds of thousands of investors, including more than 26,000 New Yorkers, out of billions of dollars worth of cryptocurrency.” Former…
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The examiner revealed that Celsius’ digital assets in its customer’s Custody wallets account officially became underfunded on Jun. 11. The independent examiner in crypto lender Celsius’ bankruptcy case has alleged that the company failed to set up “sufficient” accounting and operational controls in its handling of customer funds. In an interim report released on Nov.…
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Celsius’ bankruptcy proceedings resulted in 14,000 pages of customer data leaking to the public. The incident displayed the pitfalls of centralized finance. In Celsius Network’s recent court filing, the billion-dollar centralized finance (CeFi) platform exposed more than 14,000 pages of customer identity and on-chain transaction data without user consent — a prescient reminder that privacy…
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The crypto community is upset about a recent discovery stemming from the Celsius bankruptcy case as a court filing has revealed over 14,000 pages of the usernames and trading histories of the company’s customers. While the file does not disclose personal information tied to the user’s finance providers or the customer’s residential address, the crypto…
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