Stablecoin issuer Tether has agreed to pay $299.5 million to the Celsius Network bankruptcy estate, resolving claims tied to the crypto lender’s 2022 collapse and potentially opening a new chapter in the debate over stablecoin liability.
The Blockchain Recovery Investment Consortium (BRIC), a joint venture between asset manager VanEck and GXD Labs, an affiliate of Atlas Grove Partners, announced the settlement on Tuesday.
The recovery concludes a years-long dispute over Bitcoin collateral transfers and liquidations that preceded Celsius’s high-profile bankruptcy in July 2022.
The settlement may signal growing legal exposure for stablecoin issuers when acting as counterparties in distressed crypto markets, a development that could reshape how regulators and courts view the responsibilities of entities like Tether in future insolvencies.
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