DOJ opposes Celsius' plans to reopen withdrawals and sell stablecoins
The objection requests a deferral of the Celsius motions until the Independent Examiner's report on the company is filed within next two months.
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The Department of Justice (DOJ) has submitted an objection to Celsius's motion to reopen withdrawals for certain clients and sell its stablecoin holdings.
The DOJ says the state of Celsius' finances lack transparency and that key decisions like this should not be considered until the independent reviewer's report has been filed.< /p>
The DOJ decision adds to objections filed last week by the Texas State Securities Board, Texas Department of Banking and Vermont Department of Financial Regulation. All three oppose Celsius selling off its stablecoin holdings, saying there is a risk the company could use the capital to resume operations in violation of state laws.
In a September 30 filing with the bankruptcy court for the Southern District of New York, a U.S. DOJ administrator, William Harrington, raised an objection to Celsius opening withdrawals to its "guardian" clients and " withheld," citing a lack of transparency about the company's finances.
Harrington argues in the filing that these withdrawals should not be opened until the independent reviewer's report on Celsius's business operations is complete:
“The motions are premature and should be denied until the Examiner's report is filed. cryptocurrency of debtors."
The DOJ also opposed a possible sale of stablecoins, pointing to similar concerns from regulators in Texas and Vermont that Celsius's motion does not concretely describe "what impact s...
The objection requests a deferral of the Celsius motions until the Independent Examiner's report on the company is filed within next two months.
New
The Department of Justice (DOJ) has submitted an objection to Celsius's motion to reopen withdrawals for certain clients and sell its stablecoin holdings.
The DOJ says the state of Celsius' finances lack transparency and that key decisions like this should not be considered until the independent reviewer's report has been filed.< /p>
The DOJ decision adds to objections filed last week by the Texas State Securities Board, Texas Department of Banking and Vermont Department of Financial Regulation. All three oppose Celsius selling off its stablecoin holdings, saying there is a risk the company could use the capital to resume operations in violation of state laws.
In a September 30 filing with the bankruptcy court for the Southern District of New York, a U.S. DOJ administrator, William Harrington, raised an objection to Celsius opening withdrawals to its "guardian" clients and " withheld," citing a lack of transparency about the company's finances.
Harrington argues in the filing that these withdrawals should not be opened until the independent reviewer's report on Celsius's business operations is complete:
“The motions are premature and should be denied until the Examiner's report is filed. cryptocurrency of debtors."
The DOJ also opposed a possible sale of stablecoins, pointing to similar concerns from regulators in Texas and Vermont that Celsius's motion does not concretely describe "what impact s...
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