Celsius will finally be accountable to its former customers. After going bankrupt since last summer, the cryptocurrency lending platform was forced to send a list of the first and last names of its eligible users to withdraw “nearly 94%” of their assets to a New York court. In other words, only a portion of the affected customers will be able to get their money back. It remains to be seen if the lucky ones get close over 1400 pages The remaining 6% can be withdrawn. The court must rule at a later date, we learned on BFM encryption.
After freezing withdrawals, cryptocurrency platform Celsius files for bankruptcy
As a reminder, the nursery Celsius, which was founded in 2017, has managed to conquer the wallets of 1.7 million people around the world. Once scammed, customers who deposit their cryptocurrency on the platform can expect to earn up to 18% interest. But everything collapsed last June, when the company faced a severe liquidity crisis. Users’ withdrawals are frozen and the company is taken to court.
Customers fear cyberattacks
As part of the legal action, Celsius was forced to release the names of all of its customers along with their crypto balances last October. What worries many of them is the fear of becoming targets for malicious attacks. This new publication of their identities in the judicial file makes them fear once again for the security of their data.
Cryptocurrency: Percent bankruptcy raises massive legal issues
In addition, only users who have transferred more than $7,500 on the platform can be included in the list of clients eligible to withdraw their funds. By February 15, they should receive more details about the procedures to follow. In the meantime, the investment firm invites them to update their accounts to comply with certain anti-money laundering procedures or KYC (“know your customer”) policies.