Certain Celsius creditors assert that suspicious FTX transactions in 2022 may have manipulated the price of Celsius token (CEL). A group of creditors requests the assistance of a bankruptcy magistrate to identify the suspect users.
The Celsius Network group of creditors, represented by a committee, has asked a bankruptcy judge for permission to issue citations to FTX. They are seeking information on 10 cryptocurrency wallet users who allegedly participated in suspicious transactions involving Celsius’ CEL currency between April and August 2022.
Creditors believe that FTX data will assist them in determining whether the operations were legitimate or constituted market manipulation, such as cleanse trading. The appearance request was made in court documents presented on April 26.
Blockchain Elements, a consulting firm, found suspicious transactions. The presentation
The committee representing the Celsius Network group of creditors has stated that the information they are requesting from FTX is essential for determining whether CEL’s operations were intended to artificially inflate their price.
In addition, the committee requests information regarding CEL’s short-term positions. According to the court filing, this could have also had a negative effect on the price. The group of creditors believes that determining the legitimacy of Celsius’s operations is essential to resolving a dispute related to the company’s bankruptcy.
FTX has signed a purchase agreement with a Miami International Holdings affiliate to sell LedgerX, its futures and options purse and clearinghouse, for approximately $50 million. The settlement is pending approval by the Delaware District United States Bankruptcy Court, with a hearing scheduled for May 4.