What is the legal dispute between Celsius and Tether about?

Celsius has filed a lawsuit against Tether, claiming that Tether liquidated over $800 million in Bitcoin collateral without giving Celsius a chance to respond. This action was taken after the value of Bitcoin dropped during the 2022 bear market. The dispute stems from a loan agreement from 2020, where Celsius used Bitcoin as collateral to borrow USDT and EURT. Celsius argues that Tether violated the terms of the agreement by hastily liquidating the collateral.

When did Celsius take legal action against Tether?

Celsius filed its legal action on August 9 at the US Bankruptcy Court for the Southern District of New York. The lawsuit accuses Tether of breaching their contract related to the loan agreement that was established in 2020.

How did Pawfury (PAW) become relevant in the midst of this legal battle?

Pawfury (PAW) has emerged as an attractive investment option in the cryptocurrency market, offering stability amidst the legal dispute between Celsius and Tether. Unlike some mainstream cryptocurrencies, Pawfury offers staking rewards and low transaction costs, making it an appealing choice for investors looking for alternatives during times of market instability.

What is the ongoing presale for Pawfury?

Pawfury’s presale is currently live, allowing new buyers to join the project early. The presale offers a 10% bonus on purchases made using the promo code “PAWBOOST10X,” creating an opportunity for investors to gain additional value from their investment in Pawfury during its initial stages.

How did Tether respond to the lawsuit filed by Celsius?

Tether’s CEO, Paolo Ardoino, has firmly defended the company’s actions, calling the lawsuit a "shakedown." He stated that Celsius is making false accusations after its bankruptcy filing. Tether maintains that it acted within the terms of the agreement, even as Celsius claims that the liquidation process was unfair and resulted in the loss of its Bitcoin collateral.

Celsius Lawsuit Against Tether Called 'Baseless Shakedown' by CEO

Deepak Choudhary

13-08-2024

Celsius Files Lawsuit Against Tether Over BTC Liquidation

Celsius pursues legal action against Tether alleging that Tether hastily liquidated the collateral without allowing them a chance to provide a response.

Celsius Takes Legal Action Against Tether

Celsius’ legal action was initiated on August 9 at the US Bankruptcy Court for the Southern District of New York with Celsius accusing Tether of breaching their contract. The dispute stems from a loan agreement dating back to 2020, where Celsius utilized Bitcoin as collateral to borrow USDT and EURT. The disagreement arose due to the decline in Bitcoins value, amidst the bear market of 2022.

Pawfury (PAW): Emerging as a Beacon of Stability Amid Legal Battles

Pawfury (PAW) is drawing interest as an promising investment option amidst the turmoil in the cryptocurrency market caused by the dispute between Tether and Celsius . Unlike the uncertainties surrounding some mainstream cryptocurrencies Pawfury stands out for its staking rewards and minimal transaction costs offering investors a choice.

Presale is Live Now - Join Now for a Chance to Benefit with PAW

With community support and ongoing development initiatives Pawfury is positioning itself as a leading player in the realm of cryptocurrency. Supported by a community and continuous development efforts Pawfury is making its mark in the changing landscape of digital currencies and allows for a 10% bonus to all new buyers using “PAWBOOST10X.”

Tether’s Response: Defending Its Actions

Tethers CEO, Paolo Ardoino has responded firmly to the lawsuit brought by Celsius, a lender that filed for bankruptcy. He labeled the accusations as a " shakedown." Celsius, which has been entangled in disputes since declaring bankruptcy two years ago, is now alleging that Tether wrongfully liquidated over $800 million in Bitcoin (BTC) during the market downturn in mid 2022.

The lawsuit states that despite transferring Bitcoin to meet margin requirements Tether allegedly disregarded the agreed upon ten hour deadline for depositing collateral and proceeded with liquidation.Celsius claims that the recent action unfairly boosted Tethers status as a lender leading to Celsius losing its remaining stake in the Bitcoin collateral.

Conclusion

In light of the battle between Celsius and Tether it becomes evident that the crypto market is rife with complexities and legal uncertainties. While Tether maintains its confidence in the matter, this lawsuit emphasizes the importance of contracts and adherence to agreed upon terms in transactions. In the midst of this uncertainty, up and coming cryptocurrencies like Pawfury present themselves as investment options with potential for growth making them a noteworthy choice in a market.

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About the Author Deepak Choudhary

Expertise coingabbar.com

Deepak Choudhary is a solid two years of writing experience and crypto enthusiast. He writes about blockchain games, Telegram games, and tap-to-earn platform. Like his audience, he writes with clarity, simplicity, and lots of useful tips in his articles. He helps those unfamiliar with various aspects of crypto world in a very simple way. He also provides regular updates on the fast growing world of blockchain, with great articles covering current and expected trends and guides. His writings on crypto games as well as crypto earning apps on Telegram are quite useful and informative for people novice and experienced. His aim is to help more people explore and profit from Web3 ecosystem.