Celsius Network Seeks $7.7 Million from Estate of Rival Voyager Digital

Lawyers for bankrupt lender Celsius Network are seeking to claw back $7.7 million from the estate of rival Voyager Digital as judges wrangle over the exact legal status of Celsius’ assets.

The U.S. bankruptcy code allows clawback of transactions that took place up to three months before Celsius filed for Chapter 11 bankruptcy protection on July 13, sauid documents filed in a court in the Southern District of New York in the early hours of Wednesday morning.

“Voyager maintained Earn accounts with Celsius, which earned significant rewards for its users,” the filing said, citing Voyager transactions of $7.7 million between Celsius accounts, of which $5.9 million was withdrawn, during the crucial 90-day period. “Section 547 of the Bankruptcy Code allows Celsius to claw back that cryptocurrency.”

Read the source article at finance.yahoo.com