02.07.2025 10:06

A US bankruptcy judge has given the green light to Celsius Network's staggering $4 billion lawsuit against Tether, rejecting significant portions of Tether's motion to dismiss the case. This decision paves the way for a major legal battle over allegations of market manipulation.

Central to Celsius's claim is the assertion that Tether improperly liquidated a substantial amount of Bitcoin – precisely 39,500 BTC – in June 2022 during a dramatic market downturn. The cryptocurrency was allegedly sold at a price significantly below market value, approximately $20,656 per coin, according to Celsius’s complaint. This allegedly caused Celsius substantial financial losses.

The court's ruling hinged on the establishment of jurisdiction. Tether had argued against the US court's authority to hear the case due to its incorporation outside the United States. However, the judge found that Celsius presented a sufficiently compelling argument for US jurisdiction, deeming their claims plausible enough to warrant further legal proceedings. The court's decision effectively countered Tether's attempts to dismiss the case on jurisdictional grounds.

This landmark decision allows the lawsuit to proceed, setting the stage for a potentially protracted and high-stakes legal battle with far-reaching implications for the cryptocurrency market. The outcome will not only determine the fate of Celsius's claim but also could significantly impact future legal interpretations surrounding cryptocurrency market practices and the responsibilities of stablecoin issuers. The case is expected to attract considerable attention within the cryptocurrency community and beyond.