Celsius Network Breaking News: Judge Orders Return Of $50 Million

It’s been just revealed that Celsius Network affected users might see the light at the end of the tunnel. CHeck out the aletst reports about the platform below.

Chief bankruptcy judge of the Southern District of New York Martin Glenn has ordered failed crypto lender Celsius Network to return crypto worth $50 million back to its customers.

According to the online publication Blockworks, Glenn delivered the order during a hearing on Wednesday and this applies to an estimated $44 million worth of crypto held in custody accounts that belong to Celsius users, and not the company.

“Coins involved in transfers under $7,500 from interest bearing accounts to custody accounts were also ordered to be returned, a little over $11 million worth of crypto fell into that group, court papers show,” the same online publication notes.

The $50 million is just the tip of the iceberg, as it is estimated that the fallen crypto lender owes over $4.7 billion to its users.

“I want this case to move forward,” Glenn said in a hearing first reported by Bloomberg. He continued and said this:

“I want creditors to recover as much as they possibly can as soon as they possibly can.”

According to the same online publication that we mentioned above, the majority of the collapsed lenders assets are crypto assets in interest bearing accounts.

More than that, it is possible that Celsius could claim ownership of those assets based on rules around preferential transfers. The decisions on the future of these assets has yet to be made.

A few days ago, we revealed that Celsius received cash infusion from Prime Trust, as scammers are targeting the customers.

Back in October, we were revealing that court documents revealed that bankrupt crypto lending platform Celsius faced a federal investigation as well as inquiries in 40 US states.