U.S. class action filed against Celsius Network

The law firm Bragar Eagel & Squire, P.C., filed a class action in the District of New Jersey against the cryptocurrency-lending platform Celsius Network. говорится in a press release.

Defendants include Celsius Lending LLC, Celsius KeyFi LLC, and the company’s chief, Alex Mashinsky. They, the lawyers allege, violated the Securities Exchange Act and misled investors regarding “their financial products.”

“The price of CEL tokens fell from a peak of $7.73 [recorded] on June 3, 2021 to a low of $0.28 […]. Celsius and its affiliates, along with certain defendants, also violated the Securities Act by offering unregistered securities”, the firm said.

The lawyers represent individuals and entities who invested in Celsius.

On June 13, the platform suspended withdrawals, exchanges and transfers between accounts. A month later, on July 14, Celsius Network and some of its subsidiaries filed for bankruptcy.

In the same month, the company unveiled a restructuring plan focused on its mining unit.

Earlier, the DeFi contractor Celsius KeyFi Inc. filed a suit against the lending platform, accusing it of failing to fulfil contractual obligations.

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