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The U.S. SEC filed a lawsuit against the bankrupt crypto lender on July 13 followed by news reports about the arrest of the former CEO Alex Mashinsky. The former CEO of now-bankrupt crypto lender Celsius, Alex Mashinsky, was reportedly arrest ed on the morning of July 13. The news broke minutes after the United States Securities and Exchange Commission filed a lawsuit against the crypto lender on the same day. The former CEO was reportedly arrest ed after a probe into the company’s collapse, reported Bloomberg citing people familiar with the matter. Mashinsky was reportedly charged with fraud and intention to manipulate the market. Celsius Network filed for bankruptcy on July 14 last year. Mashinsky was recently found guilty by investigators of the Commodity Futures Trading Commission, which concluded that the former CEO broke numerous U.S. regulations before the company’s implosion in 2022. The investigation against the former CEO began after New York Attorney General sued Mashin...

According to reports, a US Bankruptcy judge has granted the Celsius Network ownership rights to $4.2 billion in customer crypto deposits. The judge explicitly ruled that the crypto lender owns most of the assets that were deposited into its online platform. This means, most Celsius customers will not be prioritized during repayment. However, customers who held non-interest-bearing accounts along with other secured creditors will stand fairly ahead in the priority queue. JUST IN: Judge grants Celsius Network ownership rights to $4.2 billion in customer #crypto deposits. — Watcher.Guru (@WatcherGuru) January 4, 2023 Also Read: FTX Investors Realize $9B In Losses: 3AC, Celsius’ Numbers Much Higher Will Celsius’ ‘Earn’ Customers Get Nothing? The latest ruling impacts around 600,000 accounts that together held assets worth more than $4 billion. The judge, Martin Glenn, noted that the company does not have enough funds to fully back those dep...