https://www.nbcnews.com/tech/crypto/former-celsius-ceo-arrested-company-agrees-pay-47-billion-settlement-rcna94106
"Former Celsius CEO arrested; company agrees to pay $4.7 billion settlement
The SEC and the CFTC charged the exchange with scheming to defraud investors out of billions. New York prosecutors accused CEO Alex Mashinsky this year of orchestrating a $20 billion fraud against investors.
The exchange was also charged by the SEC and CFTC with scheming to defraud investors out of billions. The $4.7 billion settlement is one of the largest in the FTC’s history, close to the record $5 billion fine levied against Meta in 2019, and highlights what the FTC described as repeated deceptions by Celsius and Mashinsky.
"
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He cheated for 20 billion, paid a 25% fine and was released again:)
Topic: Celsius Already File Bankcruptcy (Read 392 times)
What the F that is crazy is just same like the other news that saying Sam Bankman Fried is Free to go because who has the problem is alameda.
so what happened with all customer money then ?
A lot of people may not have the knowledge of risk management if they are willing to risk their assets for 18-20% per annum and not read user agreements on under-regulated platforms. Because of the lack of legislation, 600,000 people lost their money. As long as there are naive people in the world who want to make profits for free, scammers will get richer.
Bankcruptcy was not happen in a single day.The bank will try to short all his economic problems with a certain period.It will try to do all the loan recapture from the loan given people.And this will give the insolvency of the funds.But the recovery of loan will take some more times.The bank try to short the issue with the holding Cash Reserve Ratio.But all short of funds will leads to bank cruptcy .
Celsius bankruptcy has already happened and what's more bad is that the court has given verdict in the favor of Celsius that those people who have bitcoin at Celsius, they had no legal right to get those bitcoins back. That's how these platforms are getting hold on investors money.
Bankcruptcy was not happen in a single day.The bank will try to short all his economic problems with a certain period.It will try to do all the loan recapture from the loan given people.And this will give the insolvency of the funds.But the recovery of loan will take some more times.The bank try to short the issue with the holding Cash Reserve Ratio.But all short of funds will leads to bank cruptcy .
As we keep telling, "not your keys, not your coins".
I pity the many who have handed out their money for the mirage of earning some more cents, since I expect those need their money the most.
its because they really want earn while holding as simple as that and nowadays platform like Celsius is everywhere even binance had their sub Binance earn
Of course that everybody has that. Everybody want your coins, no matter what nice advertising they put. They will make use of those coins and earn big bucks, you get some pennies and you also hold the risk. It's not worth it. The risk is too big for the benefit.
Yes, Exactly! They get to have their cake and eat it too. High reward and low risk for them and in return, low/moderate reward and extremely high risk to you. What a damn shame; also, not all the dominos have fallen yet. Celsius, Voyager, 3AC, are the ones we know about and there are others that will soon be revealed. The FTX dude won't be able to make them all whole.
As we keep telling, "not your keys, not your coins".
I pity the many who have handed out their money for the mirage of earning some more cents, since I expect those need their money the most.
its because they really want earn while holding as simple as that and nowadays platform like Celsius is everywhere even binance had their sub Binance earn
Of course that everybody has that. Everybody want your coins, no matter what nice advertising they put. They will make use of those coins and earn big bucks, you get some pennies and you also hold the risk. It's not worth it. The risk is too big for the benefit.
As we keep telling, "not your keys, not your coins".
I pity the many who have handed out their money for the mirage of earning some more cents, since I expect those need their money the most.
its because they really want earn while holding as simple as that and nowadays platform like Celsius is everywhere even binance had their sub Binance earn
but you was right even in Decentralized FInance the platform can be hacked and money can be long gone
Indeed, recently the Celsius Company is being talked about by crypto users, the law and actions taken by Celsius, I don't think it's professional for its customers, to my knowledge Celsius has the biggest lending space in the crypto base for its clients.
This is a bit of an anomaly to Celsius's bankruptcy filing, how can it collapse with very high interest rates charged to its customers, bad action if they freeze their customers.
But I don't know, lately since Bitcoin fell, many loan-based companies have gone bankrupt, either they suffered serious losses in interest issues or indeed they really didn't have the funds anymore, it wasn't worth what they spent at that time.
Bad effect if the crypto lending company, which is related to the bank, is then lent again to its users, the risk that the company itself loses if crypto drops, the difference in interest rates on fiat loans payable with fiat, stable.
This is a bit of an anomaly to Celsius's bankruptcy filing, how can it collapse with very high interest rates charged to its customers, bad action if they freeze their customers.
But I don't know, lately since Bitcoin fell, many loan-based companies have gone bankrupt, either they suffered serious losses in interest issues or indeed they really didn't have the funds anymore, it wasn't worth what they spent at that time.
Bad effect if the crypto lending company, which is related to the bank, is then lent again to its users, the risk that the company itself loses if crypto drops, the difference in interest rates on fiat loans payable with fiat, stable.
^
Yea it doesnt seem great that they created a "token", just another way to take money from
those who use it.
This downturn in Bitcoins FIAT price has really damaged the DeFi space and it has highlighted
the weakness of applying a FIAT type financial tool to Bitcoin.
Up to about 2 months ago I was using Blockfi and earned a good bit of interest but I was lucky
to have been able to clear all my funds out.
Yea it doesnt seem great that they created a "token", just another way to take money from
those who use it.
This downturn in Bitcoins FIAT price has really damaged the DeFi space and it has highlighted
the weakness of applying a FIAT type financial tool to Bitcoin.
Up to about 2 months ago I was using Blockfi and earned a good bit of interest but I was lucky
to have been able to clear all my funds out.
There's a lot of people now posting about suicide in there social media in relation with this Celsius collapse as expected. Celsius is licensed company which is the reason why noob investors will risk there life savings in there for a passive profit.
I just saw this article https://cryptobriefing.com/i-am-suicidal-celsius-customers-respond-to-firms-bankruptcy/?utm_source=feed&utm_medium=rss shared on our group in telegram. This is same when Terra UST collapse before.
I just saw this article https://cryptobriefing.com/i-am-suicidal-celsius-customers-respond-to-firms-bankruptcy/?utm_source=feed&utm_medium=rss shared on our group in telegram. This is same when Terra UST collapse before.
That's why I say. And it doesn't just happen with cryptocurrencies. When a company goes bankrupt there are always those who had invested everything in that company, or even borrowed money to invest. Pathetic stories, as in the article you link, which refers to a reddit post: :
Quote
one user shared their troubles hours after Celsius posted its announcement. “I had all of my savings I’ve been building for 20 years in Celsius. I don’t know what to do. I have my 2nd child on the way and a mortgage to pay for…” the post read. “My wife has no idea. I am so scared on what to do. I am thinking of just ending it. It would be easier than suffering through this major loss. My whole life. Gone. I don’t know where to go or what to do.”
Another reddit post:
https://www.reddit.com/r/CelsiusNetwork/comments/vyi07y/my_life_savings_are_lost_and_ive_managed_to_ruin/
Quote
My life savings are lost, and I've managed to ruin my life
About three months ago I deposited my life savings to Celsius in order to earn yield while waiting to find a nice apartment to buy for myself.
I've managed to lose it all. I've been working for this money since I was 16, now I've lost it all.
My life is ruined and I will never be the same person after this.
About three months ago I deposited my life savings to Celsius in order to earn yield while waiting to find a nice apartment to buy for myself.
I've managed to lose it all. I've been working for this money since I was 16, now I've lost it all.
My life is ruined and I will never be the same person after this.
Some of these stories may be made up, but I'll bet most of them are true.
Imagine the pain by all the investors that using Celcius to store there life savings to earn passive income which turns to zero now. This sucks.
To store their life savings in one place and more like Celsius is pretty dumb but unfortunately when there is bankruptcy there are always stories of people claiming to have deposited their life savings there.
I guess many are blinded by the supposed profitability.
There's a lot of people now posting about suicide in there social media in relation with this Celsius collapse as expected. Celsius is licensed company which is the reason why noob investors will risk there life savings in there for a passive profit.
I just saw this article https://cryptobriefing.com/i-am-suicidal-celsius-customers-respond-to-firms-bankruptcy/?utm_source=feed&utm_medium=rss shared on our group in telegram. This is same when Terra UST collapse before.
Imagine the pain by all the investors that using Celcius to store there life savings to earn passive income which turns to zero now. This sucks.
To store their life savings in one place and more like Celsius is pretty dumb but unfortunately when there is bankruptcy there are always stories of people claiming to have deposited their life savings there.
I guess many are blinded by the supposed profitability.
Well, in these cases it is not uncommon to see them deny the obvious until they can no longer hide it.
I think they don't care about investors. Having liabilities higher than assets, the assets will probably be liquidated at a bargain price, and the little that is taken out will be used to pay creditors, but those who had something invested there can take it for granted that they will lose at least a part and most likely lose a large part.
I think they don't care about investors. Having liabilities higher than assets, the assets will probably be liquidated at a bargain price, and the little that is taken out will be used to pay creditors, but those who had something invested there can take it for granted that they will lose at least a part and most likely lose a large part.
This all start on Terra loss before until the downtrend happened which Celcius can’t stop the bleeding anymore to there balance sheet. Imagine the pain by all the investors that using Celcius to store there life savings to earn passive income which turns to zero now. This sucks.
PS. It's called Celsius, not Celcius.
Thanks for the correction, I’m not aware with the spelling even before until you point it out.
It's a pretty much expected development, for some weeks now. The only unexpected part is that it took this long.
As we keep telling, "not your keys, not your coins".
I pity the many who have handed out their money for the mirage of earning some more cents, since I expect those need their money the most.
Oh well, people have to learn in a way or another...
PS. It's called Celsius, not Celcius.
As we keep telling, "not your keys, not your coins".
I pity the many who have handed out their money for the mirage of earning some more cents, since I expect those need their money the most.
Oh well, people have to learn in a way or another...
PS. It's called Celsius, not Celcius.
Well, in these cases it is not uncommon to see them deny the obvious until they can no longer hide it.
I think they don't care about investors. Having liabilities higher than assets, the assets will probably be liquidated at a bargain price, and the little that is taken out will be used to pay creditors, but those who had something invested there can take it for granted that they will lose at least a part and most likely lose a large part.
I think they don't care about investors. Having liabilities higher than assets, the assets will probably be liquidated at a bargain price, and the little that is taken out will be used to pay creditors, but those who had something invested there can take it for granted that they will lose at least a part and most likely lose a large part.
After many weeks of denying and battling against this allegation, Celsius already admitted there losses and now preparing for filing there Bankruptcy protection paper. This is a disaster for all investors that trapped there money inside this DeFi company.
So this means all there recent move is just an act to fool again there investors? Discuss.
Source: https://u.today/embattled-crypto-lender-celsius-finally-files-for-bankruptcy
So this means all there recent move is just an act to fool again there investors? Discuss.
Source: https://u.today/embattled-crypto-lender-celsius-finally-files-for-bankruptcy
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