Celsius' enterprise mannequin totally different from that marketed -U.S. chapter examiner

SINGAPORE (Reuters) – The enterprise mannequin that crypto agency Celsius Community had marketed and bought to its clients was not the enterprise it really operated, a court-ordered examiner report launched on Tuesday confirmed.

The report added that Celsius’s stablecoin deficit between Could 28, 2021 and its chapter submitting amounted to a billion-dollar gap in its property.

Hoboken, New Jersey-based Celsius filed for Chapter 11 safety from collectors final July in Manhattan after freezing buyer withdrawals from its platform. It listed a deficit of $1.19 billion on its steadiness sheet.

U.S. Chapter Choose Martin Glenn, who’s overseeing the Chapter 11 case, appointed former prosecutor Shoba Pillay as an impartial examiner in September.

She was tasked with investigating accusations by Celsius clients that the corporate operated as a Ponzi scheme and in addition with reporting on its dealing with of cryptocurrency deposits.