Celsius Customers Can Withdraw Their Assets But Must Comply With AML Rules
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Celsius Customers Can Withdraw Their Assets But Must Comply With AML Rules

  • Celsius announced a liquidation plan, allowing users to withdraw their assets, but customers must comply with AML rules.
  • Withdrawal fees for retrieving assets from Celsius will be deducted from customers’ accounts on a “per withdrawal” basis.
  • Recent developments in Celsius bankruptcy proceedings include the liquidation of over $24 million in altcoins.

The United States Bankruptcy Court for the Southern District of New York has specified the process through which customers of the defunct crypto lending platform Celsius can retrieve their cryptocurrency assets.

“Holders will be asked to update their Celsius account with certain required information to process withdrawals, including specific customer data related to Anti-Money Laundering (AML),” the filing declared.

As per the court filing, customers will incur the cost of deducting the transaction expenses associated with sending crypto assets to them.

Meanwhile, it was noted that the withdrawal fees will be charged on a “per withdrawal” basis based on the withdrawal fees set out by the debtors.

Additionally, it emphasized the importance of customers updating their accounts with the necessary information. Failure to comply with the AML regulations will render account holders unable to access their assets.

See Also: Celsius Network Turns To Bitcoin Mining to Resolve Bankruptcy and Repay Customers

However, there have been several developments in the Celsius bankruptcy proceedings in recent times.

On July 17, Celsius started liquidating over $24 million of altcoins. These include Chainlink (LINK),  Synthetix Network (SNX), BNB coin, 1inch, and 0x Protocol (ZRX), among others.

Furthermore, the largest liquidated among the group of altcoins was LINK with approximately $8.5 million.

In more recent news, Celsius is reportedly facing struggles in its attempt to turn into a Bitcoin mining business. A report recently stated that it reduced its post-bankruptcy business plans to focus only on Bitcoin mining.

However, the SEC is reportedly hindering specific staking and lending activities, creating challenges for conducting business operations.

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.