The Celsius bankruptcy filing in the U.S Court remains a controversial issue in the industry. Over 4 months the issue is still proceeding in the Court finding many other related documents to the case. Now the Court reveals the transactional data with millions of transactions on the Celsius platform. This financial data was found in the document submitted to the Court. Interestingly, the document covers over 14,500 pages presenting a detailed record. In addition, not only the customers data it also includes the transactions of all executives. Thereby revealing the withdrawals just a week before the suspension of the Celsius network. (emphasis added)
[Angel, J. The Court Filing Discloses Million Withdrawals of Celsius Customers & Execs. (Accessed October 7, 2022)].
"The names of tens of thousands of Celsius customers have been disclosed in a court filing that appeared online today" [Oliver, J. Celsius Reveals Names, Transaction Histories of Thousands of Customers in Public Court Filing. (Accessed October 7, 2022)].
Specifically, [t]he document contains over 14,500 pages and while addresses of customers have been redacted, it includes customer names, amounts, types, descriptions and timing of transactions on the platform, along with the United States dollar amounts and cryptocurrency type used, among other details" [Coghlan, J. Court docs reveal details about thousands of Celsius customers. (Accessed October 7, 2022)].
[For a full copy of this Bankruptcy Court filing, click here. Please note the document is 14532 pages so it may take a few minutes to load].
"The user data leak has already received widespread condemnation on social media. Nick Hansen, CEO and co-founder of Luxor, said on Twitter that: 'This Celsius leak may go down as one of the greatest breaches of customer information ever.' Celsius has not provided any explanation as of yet as to why this level of information was revealed and if it was required by the court" [Firenews Admin. Bankrupt Crypto Lender Celsius Reveals Thousands of Users’ Transaction Histories in Court Filing. (Accessed October 7, 2022)].
"Henry de Valence, founder of Web3 startup Penumbra Labs, told his 9,000 Twitter followers on Oct. 6, that anyone can 'now dox all the on-chain activity' of any Celsius user, by matching the dates and amounts to the corresponding blockchain transaction data" [Coghlan, supra].
Earlier in October, Mashinsky withdrew $10 million prior to the bankruptcy filing. As the network freezes and all the withdrawal requests are blocked, Mashinsky withdrew a huge amount on the platform. Furthermore, Alex and his family members are still holding crypto assets worth $44 million. But it is locked in the crypto lending platform since the case is proceeding. As the documents are turning pages over, many more suspicious datas are found in the case. More so, as per the Statement of Financial Affairs on Oct.5, the former CSO Daniel Leon also withdrew the funds worth $7M from his custody accounts. Not only the former CEO, former CSO had withdrawn the funds, many other executives were also included. And the withdrawal of these executives are over $17M worth of crypto assets just a week before the network is halted. (emphasis added)
[Angel, supra].
In addition to the two above named, "current chief technology officer Nuke Goldstein withdrew approximately $550,000" [CoinCu. Celsius Customers Details Revealed Through Court Documents. (Accessed October 7, 2022)].
"Celsius paused withdraws for its 1.7 million customers in June before filing a Chapter 11 bankruptcy in July due to the crypto market conditions leading the company to a $2.85 billion gap in its balance sheet" [Coghlan, supra].