{"id":34795,"date":"2025-07-02T13:01:49","date_gmt":"2025-07-02T13:01:49","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=34795"},"modified":"2025-07-02T13:01:49","modified_gmt":"2025-07-02T13:01:49","slug":"judge-dismisses-tethers-dismissal-bid-in-4b-bitcoin-lawsuit-with-celsius","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=34795","title":{"rendered":"Judge Dismisses Tether\u2019s Dismissal Bid In $4B Bitcoin Lawsuit With Celsius"},"content":{"rendered":"<div>\n<p>USDT issuer Tether has been dealt a blow in its multibillion-dollar lawsuit with Celsius after a US bankruptcy judge ruled that the lawsuit can proceed. The judge denied Tether\u2019s attempt to dismiss claims that it \u201cimproperly\u201d liquidated Celsius\u2019s Bitcoin collateral during the crypto lender\u2019s collapse in 2022.<\/p>\n<p>Per <a class=\"general-link\" href=\"https:\/\/www.courtlistener.com\/docket\/69033248\/52\/celsius-network-limited-v-tether-limited\/\" target=\"_blank\" rel=\"noopener nofollow\">court documents<\/a> filed in New York on June 30, Celsius claims that Tether executed a \u201cfire sale\u201d of over 39,500 <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/goto\/btcbulltoken?transfer=1\" target=\"_blank\" rel=\"nofollow noopener sponsored\">Bitcoin<\/a><br \/>\nin June 2022, which it then used against Celsius\u2019s $812 million debt without following pre-agreed procedures.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Tether loses bid to dismiss Celsius suit seeking to reclaim what is now over $4B of BTC that Tether took from Celsius as it fell into bankruptcy <\/p>\n<p>Being offshore doesn\u2019t allow you to evade US courts \u2013 especially when virtually all Tether\u2019s assets are sitting in the US<a href=\"https:\/\/twitter.com\/hashtag\/Tether?src=hash&amp;ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"nofollow\">#Tether<\/a> <a href=\"https:\/\/t.co\/rdshox2n0c\" target=\"_blank\" rel=\"nofollow\">pic.twitter.com\/rdshox2n0c<\/a><\/p>\n<p>\u2014 Novacula Occami (@OccamiCrypto) <a href=\"https:\/\/twitter.com\/OccamiCrypto\/status\/1940169576240779501?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"nofollow\">July 1, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<h2>Celsius Bitcoin Lawsuit Against Tether \u2013 Claims That Tether\u2019s Liquidation Cost The Firm Over $4B In Bitcoin At Current Prices<\/h2>\n<p>Celsius believes that Tether\u2019s actions in the Summer of 2022 breached its lending agreement, violated the principle of \u201cgood faith and fair dealing\u201d under British Virgin Islands law, and constituted fraudulent and preferential transfers that are avoidable under the US Bankruptcy Code.<\/p>\n<p>The complaint stems from a margin call Tether issued as the <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/visit\/bitcoinhyper?transfer=1\" target=\"_blank\" rel=\"nofollow noopener sponsored\">Bitcoin<\/a> price plummeted. Celsius argues that Tether sold its collateral before a pre-agreed 10-hour waiting period, liquidating the BTC position at an average price of $20,656 below market levels, and later transferring the proceeds to its own Bitfinex accounts.<\/p>\n<p>In the filing, Celsius alleges that Tether\u2019s liquidation of its Bitcoin position cost it over $4 billion worth of BTC at current prices. It further claims that Tether\u2019s actions involved US-based communications, personnel, and financial accounts.<\/p>\n<p class=\"p1\"><strong>DISCOVER: <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/crypto-presales\/\" target=\"_blank\" rel=\"nofollow noopener sponsored\">The 12+ Hottest Crypto Presales to Buy Right Now<\/a><\/strong><\/p>\n<p>This is key, as if proven true, it would establish sufficient ties for US jurisdiction, despite Tether\u2019s incorporation in the British Virgin Islands and Hong Kong.<\/p>\n<p>In an early win for Celsius, the US judge agreed Celsius made a plausible case that the transfers and alleged misconduct were \u201cdomestic\u201d in nature, rejecting Tether\u2019s argument that the claims fall outside of US bankruptcy law jurisdiction.<\/p>\n<p>Last year, in August, Tether attempted to dismiss the lawsuit in its entirety, claiming that the US court lacked jurisdiction and that Celsius\u2019s allegations fail to state valid claims. While the court dismissed some counts at the time, it allowed Celsius\u2019s key breach of contract, fraudulent transfer and preference claims to proceed.<\/p>\n<p class=\"p1\">\n<div class=\"cpp-crypto-chart cpp-crypto-chart-99btc cpp-crypto-chart-usdt\" data-coin-symbol=\"usdt\" data-price-usd=\"USDT Price (USD)\" data-main-color=\"#4caf05\" data-watermark-image=\"https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/06\/99bitcoins-logo.png\" data-chart-style=\"99btc\">\n<div class=\"cpp-chart-top-section\">\n<div class=\"cpp-chart-info-section\">\n<div class=\"cpp-chart-coin-details\">\n<div class=\"cpp-chart-labels-row\">\n<div class=\"cpp-chart-coin-name\">Tether<\/div>\n<div class=\"cpp-chart-price-info\">Price<\/div>\n<div class=\"cpp-chart-market-cap\">Market Cap<\/div>\n<\/div>\n<div class=\"cpp-chart-values-row\">\n<div class=\"cpp-chart-coin-symbol\">USDT<\/div>\n<div class=\"cpp-chart-price\"><\/div>\n<div class=\"cpp-chart-market-cap-value\">$157.85B<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"cpp-chart-selectors cpp-chart-selectors-99btc\"><span class=\"cpp-chart-selector\" data-period=\"24h\">24h<\/span><span class=\"cpp-chart-selector\" data-period=\"7d\">7d<\/span><span class=\"cpp-chart-selector\" data-period=\"30d\">30d<\/span><span class=\"cpp-chart-selector\" data-period=\"1y\">1y<\/span><span class=\"cpp-chart-selector\" data-period=\"all_time\">All time<\/span><\/div>\n<\/div>\n<p><canvas id=\"cpp-chart-68652b8c5a77b\" class=\"cpp-chart-container cpp-chart-container-99btc\"><\/canvas><\/div>\n<h2>Tether CEO In The News After Refuting Claims The Company Is Going Public<\/h2>\n<p>Last month, in June, Tether CEO Paolo Ardoino stated that the company has no plans to go public, following much speculation. Ardoino responded to rumours of a potential Tether IPO, dismissing the idea outright.<\/p>\n<p>This public denial did not stop the chatter, with analysts claiming a public offering could value the stablecoin giant at over $500 billion, which would put it higher than global corporations such as Walmart or Coca-Cola.<\/p>\n<p>Ardoino did, however, call the $515 billion valuation a \u201cbeautiful number,\u201d although he suggested it might even undervalue Tether, considering its sizable holdings of Bitcoin and gold.<\/p>\n<p>Tether\u2019s flagship product, the USD-backed stablecoin $USDT, is the third-largest digital asset, trailing only Ethereum and Bitcoin, with a market cap of over $157 billion. It is by far the most used stablecoin on the market, evidenced by its $38 billion daily trading volume.<\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone wp-image-255339 size-full\" src=\"https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/07\/Screenshot-2025-07-02-at-12.47.09.png\" alt=\"Celsius gets the green light to go ahead with its $4bn Bitcoin lawsuit against USDT issuer, Tether after Judge refuses dismissal bid\" width=\"1180\" height=\"782\" srcset=\"https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/07\/Screenshot-2025-07-02-at-12.47.09.png 1180w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/07\/Screenshot-2025-07-02-at-12.47.09-300x199.png 300w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/07\/Screenshot-2025-07-02-at-12.47.09-1024x679.png 1024w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/07\/Screenshot-2025-07-02-at-12.47.09-768x509.png 768w, https:\/\/99bitcoins.com\/wp-content\/uploads\/2025\/07\/Screenshot-2025-07-02-at-12.47.09-50x33.png 50w\" sizes=\"(max-width: 1180px) 100vw, 1180px\"><\/p>\n<p>(<a class=\"general-link\" href=\"https:\/\/twitter.com\/APompliano\/status\/1935839987506786544\" target=\"_blank\" rel=\"noopener nofollow\">SOURCE<\/a>)<\/p>\n<p>Circle\u2019s USDC stablecoin, widely recognised as the second-largest USD-backed stablecoin, has a market capitalisation of $61 billion and a daily trading volume of only $7 billion. Circle has been in the news recently after going public following a successful IPO. It is up 11% daily, trading for $192 and a market cap of around $42 billion.<\/p>\n<p>Considering that Tether\u2019s USDT stablecoin processes nearly the same daily trading volume as Circle\u2019s entire market cap, it is no wonder that Paolo Ardoino believes $515 billion for Tether may be undervalued.<\/p>\n<p>Meanwhile, Tether continues to expand its African footprint. Yesterday, it announced that it has signed a Memorandum of Understanding (MoU) with the Zanzibar e-Government Authority (eGaz) to advance digital asset education and financial innovation.<\/p>\n<p>The stablecoin issuer plans to integrate its USD-backed $USDT and gold-backed $XAUT stablecoins into the Zanmalipo payment gateway, improving available options for users locally. It is part of Tether\u2019s long-term expansion strategy for Africa, aimed at boosting\u00a0digital asset adoption on the continent.<\/p>\n<p><strong>EXPLORE:\u00a0<a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/best-ai-crypto-coins\/\" target=\"_blank\" rel=\"nofollow noopener sponsored\">10 Best AI Crypto Coins to Invest in 2025<\/a><\/strong><\/p>\n<p><strong><a class=\"general-link\" href=\"https:\/\/discord.gg\/B7Uk6agkqj\" target=\"_blank\" rel=\"noopener nofollow\">Join The 99Bitcoins News Discord Here For The Latest Market Updates<\/a><\/strong><\/p>\n<p>The post <a href=\"https:\/\/99bitcoins.com\/news\/judge-dismisses-tethers-dismissal-bid-in-4b-bitcoin-lawsuit-with-celsius\/\">Judge Dismisses Tether\u2019s Dismissal Bid In $4B Bitcoin Lawsuit With Celsius<\/a> appeared first on <a href=\"https:\/\/99bitcoins.com\/\">99Bitcoins<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>USDT issuer Tether has been dealt a blow in its multibillion-dollar lawsuit with Celsius after a US bankruptcy judge ruled that the lawsuit can proceed. The judge denied Tether\u2019s attempt to dismiss claims that it \u201cimproperly\u201d liquidated Celsius\u2019s Bitcoin collateral during the crypto lender\u2019s collapse in 2022. Per court documents filed in New York on [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-34795","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/34795","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=34795"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/34795\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=34795"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=34795"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=34795"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}