Celsius reaches a settlement agreement with creditors: provides a 15% physical distribution for creditors who choose the "withhold" account, with the remainder treated as Earn claims

ChainCatcher news, the official committee of unsecured creditors (UCC) of Celsius tweeted that Celsius, UCC, and the withholding account group have reached a settlement agreement, providing a 15% cryptocurrency physical distribution for creditors who choose the "withholding" accounts, while the remainder will be treated as Earn claims in the plan. A hearing on the joint motion to approve the related applications will be held on April 18, 2023.

It is reported that the so-called "withholding account" group is composed of customers from several states in the U.S., who, due to a regulatory stop order, are unable to access available custodial accounts from Celsius. These individuals can choose to transfer their funds to the withholding accounts, although these funds remain frozen. Data shows that when Celsius halted withdrawals, the withholding accounts accounted for only $14.5 million of the approximately $12 billion in assets managed by Celsius. (source link)