The FTC wants to be involved in the bankruptcy lawsuit of crypto lending firm Celsius.
The Federal Trade Commission (FTC) has announced that Celsius Network wants to be involved in the bankruptcy case.
FTC Wants to Involve in Celsius Case
Today, business regulator Katherine Johnson and Katherine Aizpuru and two attorneys sought permission from the judge overseeing Celsius’ proceedings to represent the FTC. In addition, a copy of all documents related to the case was also requested. No response has yet been received to the requests.
Johnson declined to comment on the matter, while a press representative of the FTC did not respond to calls to him.
There are bankruptcy cases that the FTC has participated in before. The agency has previously proposed how much information such as customers’ names and purchase histories can be shared in connection with RadioShack’s bankruptcy proceedings.
Celsius Status Remains Uncertain
The status of crypto lending firm Celsius remains uncertain. Amid the market crisis, Celsius announced on June 12 that it was suspending withdrawals. The company subsequently filed for Chapter 11 bankruptcy on July 13.
Celsius, which has a $1.2 billion deficit in its budget, was recently accused by the Vermont regulator of misleading investors.
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