{"id":5578,"date":"2025-01-03T04:47:34","date_gmt":"2025-01-03T04:47:34","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=5578"},"modified":"2025-01-03T04:47:34","modified_gmt":"2025-01-03T04:47:34","slug":"celsius-appeals-court-ruling-dismissing-its-444m-claim-against-ftx","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=5578","title":{"rendered":"Celsius Appeals Court Ruling Dismissing its $444M Claim Against FTX"},"content":{"rendered":"
\n

The bankrupt crypto lender Celsius Network has filed an appeal challenging a court ruling that dismissed its $444 million claim against the defunct crypto exchange FTX.<\/p>\n

The appeal<\/a>, which is currently awaiting review in the District Court, comes as part of Celsius\u2019 ongoing litigation efforts to recover funds from FTX.<\/p>\n

Celsius\u2019 Initial Claim<\/h2>\n

According to court documents, Celsius had originally filed a claim of up to $2 billion in damages from FTX. The claim alleged that FTX officials had made \u201cunsubstantiated and disparaging statements\u201d against Celsius, which undermined its reputation and accelerated its collapse in 2022.<\/p>\n

However, before the bar date in July 2024, the company amended the claim to $444 million, stating that the new claim would focus on \u201cpreferential transfers\u201d that allegedly gave some creditors an advantage over others.<\/p>\n

In December, Judge John Dorsey, the magistrate in charge of the case, rejected both claims. He pointed out the procedural flaws in Celsius\u2019 filings, stating that they lacked sufficient evidence to maintain the preference claims.<\/p>\n

Judge Dorsey criticized Celsius\u2019 amended filing, stating that it was improper since the company did not seek court approval. He also noted that the content of the amended claims was not remotely related to the original claims and could obstruct FTX\u2019s restructuring<\/a> plans.<\/p>\n

On December 31, Celsius\u2019 litigation administrator, Mohsin Meghji, officially filed a notice of appeal disputing Judge Dorsey\u2019s ruling. In the filing, Celsius argued that its initial fillings met all the requirements of the Bankruptcy Code despite lacking a detailed explanation.<\/p>\n

The company intends to continue pursuing the case to recover the disputed claim.<\/p>\n

Celsius\u2019 Repayment Efforts<\/h2>\n

Despite its legal woes, Celsius has made considerable progress to repay its creditors. In August 2024, the company began its repayment effort, distributing<\/a> $2.5 billion in crypto and cash to more than 250,000 creditors in over 165 countries.<\/p>\n

In a more recent court filing in November, Celsius announced plans to disburse<\/a> an additional $127 million to creditors. The company pointed out that this second payout will be made from funds recovered through its litigation efforts.<\/p>\n

The post Celsius Appeals Court Ruling Dismissing its $444M Claim Against FTX<\/a> appeared first on CryptoPotato<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The bankrupt crypto lender Celsius Network has filed an appeal challenging a court ruling that dismissed its $444 million claim against the defunct crypto exchange FTX. The appeal, which is currently awaiting review in the District Court, comes as part of Celsius\u2019 ongoing litigation efforts to recover funds from FTX. Celsius\u2019 Initial Claim According to […]<\/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-5578","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\/5578","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=5578"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/5578\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5578"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5578"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5578"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}