Celsius Creditors Seek to Investigate Suspected Token Manipulation

Investigation into CEL Token Manipulation

Celsius Network creditors are pursuing legal action to uncover potential manipulation of the Celsius (CEL) token in 2022. Concerns have arisen regarding certain FTX users who may have engaged in suspicious trading activities impacting CEL's market value.

Legal Action Requested

The creditors, represented by a committee, have approached a bankruptcy judge to gain approval for issuing subpoenas to FTX. Their aim is to obtain information related to 10 cryptocurrency wallets suspected of being involved in these questionable trades. The timeframe of interest spans from April to August 2022.

Subpoenas for FTX

The focus is on obtaining detailed transaction data from FTX to identify the individuals or entities behind the wallet addresses. This information is crucial in understanding whether these trades were part of a deliberate effort to manipulate the CEL token price.

Importance for Creditors

Uncovering the truth behind these trades is significant for the creditors as it could influence the proceedings of the Celsius Network's ongoing bankruptcy case. Any potential market manipulation could have implications for the assets and claims within the bankruptcy process.

Potential Impact on Cryptocurrency Markets

This investigation highlights the broader issue of market manipulation within the cryptocurrency sector. Identifying and addressing such activities is essential for ensuring the integrity and trustworthiness of digital asset markets, which continue to grow in popularity and influence.