Celsius Network’s Assets Could Be Locked for a Long Long Time Like Mt. Gox’s Crypto, Says Bitfinex Whale.

Summary:

• Bitfinex Bitcoin whale, Joe007, has warned that Celsius Network’s assets could beryllium locked for a ‘long agelong time’ conscionable similar Mt. Gox’s crypto has been locked since 2014.
• Celsius Network has filed for Chapter 11 bankruptcy.

Bitfinex Bitcoin whale known arsenic @Joe007 has warned that Celsius Network’s assets could beryllium locked for a agelong clip owed to the institution filing for bankruptcy.

@Joe007 gave the illustration of Mt. Gox’s bankruptcy filing of 2014 that has lone precocious started to show signs of resolving with creditors requested by the exchange’s trustees to state however they privation their locked crypto distributed.

@Joe007 shared his insights into Celsius Network filing for bankruptcy and its assets being frozen for a agelong clip done the pursuing tweet.

In applicable terms, it means that up to $9B successful Celsius crypto assets are present locked, perchance for a agelong long time. Remember however agelong it took to benignant retired 2014 MtGox bankruptcy? https://t.co/T1iLax8B8K

— Joe007 alerts·groups·funds? Scam! (@J0E007) July 14, 2022

Celsius Network Files for Bankruptcy, Showing Pharos USD Fund arsenic its Biggest Creditor, which Has Links to Alameda Research.

As earlier mentioned, Celsius Network filed for bankruptcy, and a Bloomberg report has unveiled that Celsius owes a institution known arsenic Pharos USD Fund a full of $81.1 million.

Source, Bloomberg.

According to the squad astatine Bloomberg, searching for Pharos USD Fund connected Google does not ‘yield immoderate results.’

Furthermore, Pharos USD Fund is an affiliate of Lantern ventures; a London-based ‘proprietary trading steadfast focused connected cryptocurrencies.’ Lantern has astir $400 cardinal nether management, with implicit 50% belonging to investors extracurricular the United States.

What is absorbing is that Lantern’s Chief Executive Officer, Tara mac, is simply a co-founder of Sam Bankman-Fried’s concern steadfast known arsenic Alameda Research. Information gathered from LinkedIn states that different Lantern employee, Victor Xu, was a trader for Alameda for 9 months successful 2018.

Alameda Research is successful itself owed $12.8 cardinal by Celsius Network.

However, Celsius Network Will Remain Operational.

To enactment is that Celsius Network has stated that it has ample liquidity to the tune of $167 cardinal successful currency to enactment definite operations during restructuring successful enactment with its bankruptcy process. It explained:

Celsius has $167 cardinal successful currency connected hand, which volition supply ample liquidity to enactment definite operations during the restructuring process.

To guarantee a creaseless modulation into Chapter 11, Celsius has filed with the Court a bid of customary motions to let the Company to proceed to run successful the mean course. These “first day” motions see requests to wage employees and proceed their benefits without disruption, for which the Company expects to person Court approval. Celsius is not requesting authorization to let lawsuit withdrawals astatine this time. Customer claims volition beryllium addressed done the Chapter 11 process.