APPROVAL OF SETTLEMENT AGREEMENT FOR CELSIUS CUSTODIAL ACCOUNT HOLDERS

According to reports, a federal judge in the United States has approved a settlement agreement between the Celsius debtor, the unsecured creditor committee, and the ad hoc group of custodial account holders. If Celsius custodial account holders choose the newly approved settlement agreement, they can recover 72.5% of the encrypted currency in their custodial account.

US judge has approved the Celsius settlement agreement, allowing holders to recover 72.5% of their cryptocurrency

In recent news, a federal judge in the United States has approved a settlement agreement that benefits Celsius custodial account holders, the unsecured creditor committee, and the ad hoc group of custodial account holders. The newly approved settlement agreement provides an opportunity for Celsius custodial account holders to recover 72.5% of the encrypted currency in their custodial account. This article will explore the details of this settlement agreement and its implications on Celsius custodial account holders.

Background Information

Celsius is a cryptocurrency lending and borrowing platform that allows its users to earn interest on their digital assets. The platform provides custodial services to its users, where Celsius acts as a custodian for their encrypted currency. In September 2020, Celsius was sued by the SEC (Securities and Exchange Commission) on allegations of offering unregistered securities. As a result of this lawsuit, many Celsius custodial account holders were affected, and their encrypted currency was lost.

The Settlement Agreement

Recently, a settlement agreement was approved by a federal judge in the United States that benefits Celsius custodial account holders. According to the terms of the settlement agreement, Celsius custodial account holders can recover 72.5% of the encrypted currency in their custodial account. However, to receive this recovery, the users must choose to participate in the approved settlement agreement.

Benefits of the Settlement Agreement

The approved settlement agreement between the Celsius debtor, the unsecured creditor committee, and the ad hoc group of custodial account holders can provide many benefits to Celsius custodial account holders. The most significant benefit is that the account holders can recover a substantial amount of their encrypted currency. Additionally, the settlement agreement provides certainty and closure to the ongoing litigation against Celsius, which could have drawn on for years, bringing further uncertainty to the account holders. Furthermore, the settlement agreement may alleviate concerns related to class action suits and creditors’ rights.

The Recovery Process

To exercise the newly approved settlement agreement, Celsius custodial account holders should contact their legal representation or hire an attorney to assist them with the recovery process. The recovery process is simple and can be completed by completing the necessary forms and requirements. The deadline for filing claims is yet to be published but is expected to be around a year from the approval date.

Conclusion

The approved settlement agreement between Celsius debtor, the unsecured creditor committee, and the ad hoc group of custodial account holders offers a glimmer of hope for Celsius custodial account holders who lost their encrypted currency. The settlement agreement offers a simple and easy process to recover 72.5% of the lost funds. Moreover, the settlement agreement provides closure and a sense of justice to the account holders. If you are a Celsius custodial account holder, we recommend that you seek legal counsel to start the process of recovery under the newly approved settlement agreement.

FAQs

1. What is Celsius, and why is there ongoing litigation against them?
Celsius is a cryptocurrency lending and borrowing platform that offers custodial services to its users. The SEC has sued Celsius on allegations that they have offered unregistered securities.
2. What is the percentage of recovery that I could receive under the newly approved settlement agreement?
Celsius custodial account holders can recover 72.5% of the encrypted currency in their custodial account under the newly approved settlement agreement.
3. What is the recovery process, and how long do I have to file claims?
To exercise the settlement agreement, Celsius custodial account holders must contact their legal representation or hire an attorney to assist them with the recovery process. The deadline for filing claims is not yet published but is expected to be around a year from the approval date.
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