Celsius Network has reached a significant milestone in its bankruptcy proceedings by securing a $2.995 million settlement from Tether. As emphasized in the official statement, this resolution comes after a lengthy legal dispute over contested Bitcoin liquidations, marking a crucial development for Celsius and its creditors.
Settlement Announcement
The settlement, announced on October 20, 2025, is expected to have a notable impact on creditor recoveries and may set a precedent for future Bitcoin liquidation cases. Tether's CTO, Paolo Ardoino, expressed his contentment with the outcome, underscoring the importance of collaboration in addressing the intricate legal challenges faced by the cryptocurrency industry.
Litigation Management
The litigation was managed by the Blockchain Recovery Investment Consortium, which represented Celsius creditors and stressed the necessity for transparency and fairness in legal proceedings within the sector. Although the settlement amount falls short of the $4.3 billion initially sought by Celsius, it is viewed as a critical step forward, especially in light of the increasing regulatory scrutiny surrounding the cryptocurrency market.
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