**Celsius Sues Tether Over $2.4 Billion Bitcoin Liquidation**
Celsius, the bankrupt crypto lender, has filed a lawsuit against Tether, accusing the stablecoin issuer of fraudulently liquidating Bitcoin worth $2.4 billion. Celsius claims that Tether sold over 39,000 Bitcoin hastily, exacerbating its financial troubles. Tether, however, denies these allegations, asserting that it acted within its contractual rights and followed standard procedures.
The lawsuit is part of Celsius’s broader legal campaign to recover funds for its creditors, targeting multiple crypto entities. Tether remains the primary focus due to the significant Bitcoin involved. The outcome could set a precedent for future crypto disputes.
Tether’s CEO, Paolo Ardoino, has defended the company’s actions, stating that the liquidation was conducted as per the agreement when Bitcoin prices fell in 2022. He describes the lawsuit as a “shakedown” and vows to fight it in court.
The stakes are high for both companies. Celsius aims to recover lost assets to settle debts, while Tether seeks to maintain its reputation. The court’s decision will likely impact the crypto market and influence how similar disputes are resolved in the future.