Centennial Clients Start Bankruptcy Court to Release Crypto, One Client Needs Funds to ‘Put Food on the Table’ – Bitcoin News


After crypto lender Celsius filed for bankruptcy protection on July 13, the company recently contacted customers and explained that an employee of one of the company’s vendors had access to Celsius’ email list, and the email addresses were “transferred to a third party.” Moreover, Celsius clients wrote to the court begging to get their crypto assets back as one client said he had less than a thousand dollars in the bank and his situation was a dire emergency in order to “keep a roof over my family and their food” table.

Centenary Customers Notified of Email Breach, Retail Investors Say ‘Hardly Impacted’ by Crypto Lender Fallout

It looks like Celsius was Customer contact By email, explain that the customer’s email list has been transferred to a third party. The email says it came after an employee from Celsius sellers accessed the listing. The story became topical conversation On social media, though, crypto lender Celsius says, “We do not consider the incident to be any high risk for our customers whose email addresses may have been affected.” Of course, many members of the crypto community have widely shared the news Twitterand Facebook and Reddit.

Centennial Clients Start Bankruptcy Court to Release Crypto, One Client Needs Funds to 'Put Food on the Table'

This is not the first time that data from centile customers has been hacked. Celsius mentioned On “Unidentified source contacted some degree customers via unofficial channels” in April 2021. Sources at that time He said Celsius customers have been lured by phishing scams. The latest news about Celsius’ email leak followed the company’s bankruptcy filing when it “filed voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code in the US Bankruptcy Court for the Southern District of New York” on July 13.

The filing for bankruptcy came after the company withdrew and ceased operations on June 12 at 10:10 p.m. (ET). At the time, Celsius announced that it was temporarily halting “all withdrawals, swaps, and transfers between accounts.” As far as bankruptcy proceedings are concerned, Celsius clients have Written letters to the court They are asking to recover their crypto assets faster than the traditional Chapter 11 bankruptcy creditor process. One client, who is a single mother of two daughters, said her family’s life has been drastically affected.

“My family and I are deeply affected both financially and mentally by the bankruptcy and foreclosure of cryptocurrencies. I always check the application if my cryptocurrency is still around. I can’t focus on my job or sleep,” the woman wrote in her letter to the bankruptcy court before she went bankrupt` ‘Celesius’, ‘Celsius’ claimed It has approximately 1.7 million customers. Another Celsius client said he had less than $1,000 in his Wells Fargo bank account, and the bankruptcy of a cryptocurrency lender has hurt him a lot financially. Customer confirmed:

This is an emergency situation, simply to keep a roof over my family and food on their table.

One Centenary Customer Says He Still Has ‘Complete Faith in Cryptocurrencies’

The client and several other clients who wrote letters to the bankruptcy court want the authorities to release the funds and distribute the crypto among the retail clients. Besides bankruptcy and client letters, the crypto lender is also facing legal action from former partner Jason Stone, founder of Keyfi.

While letters from clients appealed to the court to release the funds, some Celsius investors noted that while the crypto lender itself is not trusted, they still trust the crypto ecosystem. Another Celsius client wrote to the court: “I still have complete confidence in cryptocurrency, but I don’t have confidence in Celsius’ management with the current team.”

Most of them are probably aware that waiting for the distribution of creditors from a bankruptcy case can be long and stressful, and oftentimes it can be fruitless. Further, creditors also have to prove themselves with a document called Proof of Claim. Celsius Submitted Customers who have information about where they can file a creditor claim.

Tags in this story

Bankruptcy Court, Celsius Clients, Celsius Client, Celsius Clients, Celsius Investors, Claims, Creditors, Crypto, Crypto Lender, Cryptocurrency Lender, Dissatisfied Clients, Email Breach, Email Leak, Food at the Table, Dining Table, Money, Jason Stone, Keyfi, letters to the court, letters to the judge, third-party leaks, customers annoyed

What do you think of Celsius email leaks and customer letters to bankruptcy court? Tell us what you think about it in the comments section below.

Jimmy Redman

Jamie Redman is the head of news at Bitcoin.com News and a technology financial journalist based in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open source code, and decentralized applications. Since September 2015, Redman has written more than 5,700 articles for Bitcoin.com News about the disruptive protocols emerging today.




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