Celsius Alleges Prime Trust Owes $17M In New Lawsuit
As it continues to work through its bankruptcy proceedings, Celsius is attempting to regain $17 million in assets it claims it is owed
- Bankrupt crypto lender Celsius says Prime Trust returned some, but not all of its assets
- Prime Trust ended its professional relationship with Celsius in June 2021
As Celsius’ bankruptcy proceedings inch forward, the crypto lender has filed a new lawsuit that aims to regain possession of $17 million of cryptoassets the beleaguered company claims it owns.
In the complaint, filed in a bankruptcy court for the Southern District of New York Tuesday, Celsius alleged crypto service provider Prime Trust failed to transfer crypto assets now worth $17 million. Prime Trust, among other services, provides digital asset custodial solutions to institutions.
After working together for one year, Prime Trust ended its relationship with Celsius in June 2021, the complaint says. Prime Trust allegedly transferred around $119 million in cryptocurrency to Celsius, but has “failed and refused to transfer” the remaining funds, according to the complaint.
Prime Trust opted to remove Celsius from its platform “for a variety of business factors,” the enterprise provider said in a statement in June 2021.
“We won’t comment beyond that other than to wish Celsius well in its endeavors,” the company added.
Representatives from Prime Trust and Celsius did not immediately respond to requests for comment.