TechFlow news, according to the Wall Street Journal, U.S. Bankruptcy Judge Martin Glenn ruled that approximately $4.2 billion worth of cryptocurrency held in interest-bearing accounts at the crypto lending platform Celsius Network belongs to Celsius, not to its thousands of customers.
The judge stated that each company's terms of use clearly define its clients' rights to digital assets, and the contractual agreement between Celsius and its users makes the company's ownership "explicit," allowing Celsius to use the deposited $4.2 billion in cryptocurrency at its own discretion.
This decision will directly affect whether Celsius can sell $18 million in stablecoins to cover ongoing expenses associated with remaining under bankruptcy protection. Celsius executives previously testified in bankruptcy court that the company’s funds would run out by March, after which it would need to raise additional capital to cover the costs of maintaining its bankruptcy protection status.Source link
