Altcoins Talks - Cryptocurrency Forum
Cryptocurrency Ecosystem => Stable Coins Forum => Topic started by: Yamane_Keto on August 12, 2024, 03:20:34 PM
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On Friday, Celsius asked the U.S. Bankruptcy Court of the Southern District of New York to order Tether to relinquish a total of 57,428.64 bitcoin (BTC) or award the "present value of all Bitcoin," some $3.3 billion at today's price, according to a court filing.
"This lawsuit incredibly now seeks the return of approximately US$2.4 billion worth of BTC from Tether, despite the BTC being liquidated at Celsius’ direction and with Celsius’ consent at June 2022 prices," Tether said in a statement on its website. Tether did not say how it calculated the $2.4 billion figure.
The case concerns a loan agreement between Celsius and Tether that allowed Celsius to borrow stablecoins "to operate certain critical aspects of its business," according to the lawsuit. In the filing, Celsius alleges that when the market crashed in mid-2022, in the "ninety-day period prior" to Celsius' bankruptcy filing, Tether insulated itself from the impending bankruptcy by making "preferential and fraudulent transfers" of bitcoin.
https://www.coindesk.com/policy/2024/08/12/tether-to-fight-celsius-33-billion-shakedown-litigation/
How could Celsius make this mistake or miss the basics of collateral settlement when its value falls below the value of the debt?
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How could Celsius make this mistake or miss the basics of collateral settlement when its value falls below the value of the debt?
I don't know if Tether or Celsius is telling the truth in this lawsuit. We need more concrete evidence to make a judgment. Anyway, this is just a small lawsuit, we just need to wait for the judge's decision. Personally, I don't think a bankrupt company, Celsius, can win a lawsuit against the giant Tether.
However, from a slightly pessimistic perspective, this could be the beginning of exposing a series of existing problems in Tether business model. I don't hope this will happen right now, I need Tether safety and strength for us to have a successful bullrun 2025.
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How could Celsius make this mistake or miss the basics of collateral settlement when its value falls below the value of the debt?
I don't know if Tether or Celsius is telling the truth in this lawsuit. We need more concrete evidence to make a judgment. Anyway, this is just a small lawsuit, we just need to wait for the judge's decision. Personally, I don't think a bankrupt company, Celsius, can win a lawsuit against the giant Tether.
I think it's an attempt by Celsius to get a settlement where Tether pays them some money but that depends on what Celsius knows about Tether. The current data tells us they won't get anything and the case will be resolved quickly.
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How could Celsius make this mistake or miss the basics of collateral settlement when its value falls below the value of the debt?
All this business of defi and stablecoins is very shady and it's connected with loans, debt and who knows what more.
It's easy for tether to print money with a push of a button and I don't believe they have 1:1 with real assets.
Heck even US dollars are just a numbers on screen and debt is going to infinity :P
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How could Celsius make this mistake or miss the basics of collateral settlement when its value falls below the value of the debt?
All this business of defi and stablecoins is very shady and it's connected with loans, debt and who knows what more.
It's easy for tether to print money with a push of a button and I don't believe they have 1:1 with real assets.
Heck even US dollars are just a numbers on screen and debt is going to infinity :P
Your analysis is accurate and realistic. We still don't fully know what's true and what's false about the legal dispute between Tether and Celsius, and it's hard to judge definitively until the judge's decision. From your perspective, it's hard for a bankrupt company like Celsius to win a case against a powerful institution like Tether. will be However, the point you mentioned is that if this case starts to reveal problems with Tether's business model, it could have big implications in the future. We must remember that Tether has played a big role so far, especially in the stablecoin market. Maintaining the security and stability of Tether will be very important for an event like Bullran, as you mentioned Bullran in 2025. It is right that the development of the situation and the judge's decision will play a key role at the moment, and it will help determine the trust in Tether and the future of the crypto market.