Did crypto lender Celsius inflated the price of its own cryptocurrency?

Crypto lender Celsius artificially inflated the price of its own digital coin, failed to hedge risk and engaged in activities that amounted to fraud, a lawsuit alleges. Celsius on Thursday was sued by former investment manager Jason Stone, as pressure continues to mount on the firm amid a crash in cryptocurrency prices.

Did Celsius networks defraud investors?

Link Copied! The New York attorney general filed a civil lawsuit Thursday against the co-founder of now-bankrupt cryptocurrency lender Celsius Networks for allegedly defrauding hundreds of thousands of investors who deposited billions of dollars into the platform.

Why was Celsius sued by Jason Stone?

Celsius on Thursday was sued by former investment manager Jason Stone, as pressure continues to mount on the firm amid a crash in cryptocurrency prices. The lawsuit in New York state court comes after Celsius, which offers customers interest for depositing their crypto, was forced to pause withdrawals for its users as it faces a liquidity crisis.

Is Celsius a Ponzi scheme?

Celsius, which was one of the largest crypto lenders, ran into trouble last year and filed for Chapter 11 bankruptcy. In 2021, the company’s chief financial officer, Yaron Shalem, was arrested in Israel, while some accused Celsius of operating as a Ponzi scheme.