Customers of the bankrupt crypto lender have until January 3, 2023, to file proofs of claim if they don’t agree with how Celsius scheduled their claims as filed.
In the ongoing bankruptcy proceedings, a U.S. court agreed to Celsius’s request to set a deadline for customers to file proofs of claim.
Last week, the U.S. Bankruptcy Court for the Southern District of New York approved Celsius’s motion. This means that customers must send proof of claim by or before January 3, 2023. Any person or group, such as an individual, a partnership, a corporation, a joint venture, or a trust, can file a claim with the claims agent Stretto by mail, in person, or through the website.
After a lack of cash in the market earlier this year shook up the industry, the crypto lending platform Celsius Network filed for bankruptcy in July, just a few weeks after stopping customer withdrawals. The lender filed for bankruptcy under Chapter 11, which lets it reorganize while still doing business.
Celsius asked a New York court earlier this month for more time to submit the platform’s reorganization plan.
Customers of the bankrupt lender don’t have to send in proof of claim if it fits into one of several categories listed in the legal document. For example, they don’t have to send in proof of claim if any claims have already been paid by what’s left of the company or if a similar form has already been filed with the clerk of the New York bankruptcy court.
Sunday, Celsius posted more details about how to file a claim on its official Twitter account and said that its next hearing will be on December 5.
CoinDesk has asked Celsius what they think about it.
