PBWT

JANUARY 30, 2023

Celsius Network LLC and its affiliates (“the Debtors”) provided certain financial services involving cryptocurrency, including offering deposit accounts for cryptocurrency assets (“Earn Accounts”). In re Celsius Network LLC , Case No. 22-10964 (MG), 2023 Bankr. LEXIS 2 (Bankr.

Bankruptcy 65

Bankruptcy Debtor Unsecured Creditor Creditors 65

Troutman Sanders

NOVEMBER 8, 2023

The defendant offered a “pause” program that allowed the plaintiff to suspend service for up to nine months at a cost of $5 per month, which the plaintiff accepted. Ultimately, the plaintiff filed for chapter 7 bankruptcy protection, listed the defendant as an unsecured creditor, and obtained a discharge of her debt.

Creditors 52

Creditors Chapter 7 bankruptcy Unsecured Creditor Debt collector 52

Troutman Sanders

JANUARY 10, 2023

In practice, the court’s ruling relegates Earn Account holders to the class of “unsecured creditors,” and their ability to recover their losses depends on two circumstances: (1) priority of distributions to unsecured creditors under a confirmed Chapter 11 bankruptcy plan and (2) the liquidity of the bankruptcy estate.

Financial services 52

Financial services Unsecured Creditor Bankruptcy Banks 52

Troutman Sanders

NOVEMBER 7, 2023

The company expects to have sufficient funds to fully repay unsecured creditors. Participants acknowledged the importance of their partnership on financial innovation as a crucial part of U.S.-UK UK financial services cooperation and expressed a desire to continue discussing these topics ahead of the next meeting in 2024.

Financial services 52

Financial services Debt collector Loans Foreclosure 52