Some Celsius users will be allowed to withdraw 94% of assets

A limited number of users of the Celsius custody service will be able to withdraw 94% of assets from the platform. This is stated in court documents.

Celsius provided an update on the upcoming withdrawal process for certain assets in certain Custody accounts. https://t.co/Q4oxRHeg4E

— Celsius (@CelsiusNetwork) February 1, 2023

“The court will decide whether the eligible users can withdraw the remaining 6% later,” Celsius Network said.

The court document applies to clients whose assets were in Celsius’s custody program or on held accounts. Two conditions must be met:

• The funds were deposited into the custody service or transferred from interest-bearing or credit accounts within 90 days before the petition was filed;
• Their aggregate value did not exceed $7,575.

The right to withdraw funds will also be granted to users whose assets are not subject to hold. According to documents, this includes cryptocurrency that was \”transferred by the user to Celsius, but not supported by the platform and remaining in the debtor’s possession\”.

Eligible clients will receive notices around February 15. The process may include updating addresses and providing information in accordance with KYC/AML rules.

Eligible Users will also receive specific information related to gas and transaction fees associated with withdrawal activities. Eligible Users who do not have sufficient assets in their accounts to satisfy these fees will not be permitted to withdraw their assets.

— Celsius (@CelsiusNetwork) February 1, 2023

“Eligible users will also receive specific information regarding gas and transaction fees associated with withdrawals. Users with insufficient funds in their accounts to cover these fees will not be allowed to withdraw their assets,” Celsius emphasised.

On January 31, court documents disclosed that Celsius provided $2 billion to the issuer of USDT Tether in 2021, exceeding its own credit limit.

Tether’s Chief Technology Officer Paolo Ardoino called the information \”a typo\” or \”a mischaracterisation\”.

Tether never borrowed from Celsius.
The doc mixes \”from\” and \”to\”.
Either is a typo or a mis-characterization.

— Paolo Ardoino 🍐 (@paoloardoino) January 31, 2023

“Tether never borrowed from Celsius,” Ardoino stated.

As reported in January, Celsius Network was considering issuing a token to satisfy creditor claims.

In the same month, journalist Tiffany Fung named the contenders for the crypto assets of the lending platform.