{"id":162589,"date":"2023-09-26T00:28:51","date_gmt":"2023-09-25T18:58:51","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=162589"},"modified":"2023-09-26T00:28:51","modified_gmt":"2023-09-25T18:58:51","slug":"sec-raises-concerns-over-coinbase-in-objection-to-celsius-restructuring-plan-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/sec-raises-concerns-over-coinbase-in-objection-to-celsius-restructuring-plan-crypto-news\/","title":{"rendered":"SEC raises concerns over Coinbase in objection to Celsius restructuring plan – Crypto News"},"content":{"rendered":"
\n

The United States Securities and Exchange Commission (SEC) has filed an objection to Celsius Network\u2019s reorganization plan based in part on the regulator\u2019s own ongoing lawsuit with crypto exchange Coinbase.<\/p>\n

In a Sept. 22 filing in U.S. Bankruptcy Court for the Southern District of New York, the SEC filed<\/a> a limited objection and reservation of rights over Celsius\u2019 most recently proposed restructuring plan. The fourth revision of the bankruptcy plan, filed<\/a> on Aug. 15, followed an initial proposal in March<\/a> but has not been approved.<\/p>\n

A supplement to the reorganization plan proposed a distribution services agreement with Coinbase which Celsius sought to file under seal. The SEC claimed in its objection that the deal may require Coinbase to \u201cgo far beyond the services of a distribution agent\u201d, potentially providing services at issue in the commission\u2019s civil suit<\/a> filed in June. <\/p>\n

\u201cThe Debtors have confirmed that they do not intend for Coinbase to provide brokerage services to the Debtors, despite the language in the Coinbase Agreements to the contrary,\u201d said the filing. \u201cHowever, this Court should not be asked to approve a deal where the material terms are missing or inconsistent.\u201d<\/p>\n

Revisions to the Celsius restructuring plan have been ongoing since March, while Coinbase faces an SEC lawsuit over allegedly offering unregistered securities. In a Sept. 25 X, Coinbase CEO Brian Armstrong and chief legal officer Paul Grewal said<\/a> the exchange was \u201cproud to engage with Celsius\u201d in its efforts to return user funds:<\/p>\n

\n

Coinbase is proud to engage with Celsius to distribute crypto back to its customers. I wonder, why would the SEC object to a trusted US public company taking on this role?\u00a0 We look forward to addressing this with the bankruptcy court and undertaking our important role to make\u2026 https:\/\/t.co\/5i1aJDiPXp<\/a><\/p>\n

\u2014 paulgrewal.eth (@iampaulgrewal) September 25, 2023<\/a><\/p><\/blockquote>\n

Related: <\/em><\/strong>Celsius chooses NovaWulf\u2019s bid to exit from bankruptcy<\/em><\/strong><\/a><\/p>\n

The bankruptcy court filing followed Celsius announcing a deal with Core Scientific in which the mining firm agreed to sell a mining data center to Celsius in exchange for $14 million in cash and settling all existing legislation between the two firms. According to Core Scientific, Celsius had defaulted on its payments<\/a> since filing for bankruptcy in July 2022.<\/p>\n

In August, the bankruptcy court approved Celsius sending out digital ballots<\/a> to vote on the restructuring plan in October. The next hearing in the bankruptcy case is scheduled on Oct. 5.<\/p>\n

Magazine: <\/em><\/strong>Tiffany Fong flames Celsius, FTX and NY Post: Hall of Flame<\/em><\/strong><\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The United States Securities and Exchange Commission (SEC) has filed an objection to Celsius Network\u2019s reorganization plan based in part on the regulator\u2019s own ongoing lawsuit with crypto exchange Coinbase. In a Sept. 22 filing in U.S. Bankruptcy Court for the Southern District of New York, the SEC filed a limited objection and reservation of […]<\/p>\n","protected":false},"author":2,"featured_media":162590,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[235,203,210,234,231,232,237,238,236,233],"class_list":["post-162589","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","tag-bitcoin","tag-crypto-currency","tag-elon-musk","tag-ethereum","tag-hyperledger","tag-ibm","tag-mining","tag-nodes","tag-spacex","tag-tesla"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/162589","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=162589"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/162589\/revisions"}],"predecessor-version":[{"id":162592,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/162589\/revisions\/162592"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/162590"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=162589"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=162589"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=162589"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}