Celsius Network to Return $48M Customer Fund

Celsius Network Ltd., which started Chapter 11 bankruptcy proceedings in July 2022, has filed a motion to restore tokens valued at about US$48 million to some holders. On October 6, there will be a hearing regarding the application. The information gets disclosed at a hearing on a motion to allow the Celsius Network debtors to reopen withdrawals for clients whose assets are being kept in custody on September 1. Celsius Has Debut of $4.3 Billion According to Celsius attorneys, who also provided details on the measures the business is considering to protect its assets, the amount allegedly kept in custody is between $200 and $215 million. These include stopping future loans, currency exchanges, transfers, and staking schemes. According to the bankruptcy filing, Celsius owes its users almost $4.3 billion. Many people are speculating about how the company will be able to collect the additional monies necessary to pay off the outstanding debts while attempting to restructure and navigate the bankruptcy process. The filing said, “Following their analysis, the Debtors have identified significant cryptocurrency assets that they do not believe are property of their estates, and as to which the Debtors do not believe that they have any colorable causes of action under applicable law, Celsius Suspended Withdrawals After suspending withdrawals in June, Celsius filed for bankruptcy in July, blaming market conditions. According to its bankr...