A federal bankruptcy judge has ruled that crypto-assets deposited in Celsius Network’s “Earn” accounts do not belong to the customers. Instead, the funds in the interest-bearing accounts belong to the bankrupt cryptocurrency lending platform.
In a 45-page written decision, Martin Glenn, the chief US bankruptcy judge in the Southern District of New York, determined that Celsius is the owner of the $4.2 billion in crypto-assets. The verdict has set an important precedent that the platform’s users do not own their coins when using certain products and services.
Estate’s Ownership of Funds
Celsius’ Earn program allowed users to deposit crypto-assets such as Bitcoin, Ethereum, and Tether and get paid weekly with interest earned on them. Customers who parked their assets in Celsius’ lending service lost access to those funds in June when the company froze withdrawals, citing extreme market conditions.
Celsius had 600,000 accounts in its Earn program when it filed for Chapter 11
We współpracy z: https://cryptopotato.com/verdict-out-celsius-earn-assets-belong-to-bankrupt-firm-not-users/
