Celsius, the crypto lender, is pursuing a $2 billion recovery from customers who withdrew sums before its July 2022 bankruptcy.Â
The move follows a report by Bloomberg stating that a bankruptcy oversight committee has initiated contact with customers who withdrew over $100,000, leading to the collapse.
Affected customers, constituting 2% of Celsius’s base, withdrew 40% of the firm’s assets before the bankruptcy filing. The committee aims to use potential returned funds to compensate customers who didn’t withdraw in time.
Those targeted will be offered a favorable settlement rate and may face litigation if they don’t comply. Customers settling will have their digital assets adjusted based on July 2022 values, allowing them to retain capital appreciation from market recovery.
Celsius recently exited bankruptcy, beginning the redistribution of over $3 billion to users, agreed upon by 98% of creditors. However, some business creditors voice concerns over receiving fiat payouts that could reduce claims by 30% compared to crypto payments. The firm also settled fines with multiple U.S. regulatory bodies.
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