The post Celsius to Pay $127M to its Creditors, What’s Next? appeared on BitcoinEthereumNews.com.

Celsius is back in the news. They’re planning to hand out $127 million to creditors. But before the creditors get too excited, it’s not as simple as it sounds. There are some serious rules, legal battles, and a reminder of just how crazy the 2022 crypto crash really was. Let’s break it down. Who’s Getting Paid? It is true that Celsius is giving out $127 million, but not everyone gets the same thing. If you’re eligible, you could get Bitcoin (BTC), Ethereum (ETH), or just regular cash (USD). But here’s the thing—if you want BTC or ETH, you need to have a Coinbase account. If not, no worries, you’ll automatically get USD after November 9, 2024. The payout is mostly for people who fall under the Illiquid Recovery Rights part of Celsius’s bankruptcy plan. But, some of the funds are being set aside for other unexpected issues. So, while it’s a step forward for some, it’s not the full recovery people are hoping for. Legal Woes for Celsius CEO While creditors wait for their share, Celsius’s former CEO, Alex Mashinsky, is in deep trouble. He’s facing charges for market manipulation and fraud, including messing with the CEL token. Recently, a judge shot down his attempt to dismiss two fraud charges. If he’s convicted on all seven charges, he could spend up to 115 years behind bars. His trial is set for January 2025, so there’s more drama to come. Celsius will soon begin a second distribution of $127 million made available from the Litigation Recovery Account to eligible creditors (Classes 2, 5, 7, 8, and 9). Distributions will be made in BTC or USD, based on eligibility. For more details, please refer to this notice:… — Celsius (@CelsiusNetwork) November 27, 2024 The Aftermath of Crypto Winter The bankruptcy of Celsius…

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Filed under: News - @ November 28, 2024 8:23 am