Latest Celsius (CEL) News Update

Deep Dive

1. UK Crypto Rules Impact Creditors (16 December 2025)

Overview:
The UK’s new crypto asset rules under the GENIUS Act grant stablecoin holders “superpriority” in bankruptcy claims, aiming to prevent scenarios like Celsius’s 2022 collapse where users became unsecured creditors. The law mandates clearer asset segregation and faster restitution.

What this means:
This is neutral for CEL, as it primarily affects legacy claims rather than current operations. However, it sets a precedent for future crypto insolvencies, potentially improving investor confidence in regulated platforms. (CoinMarketCap)

2. Third Creditor Distribution (20 August 2025)

Overview:
Celsius initiated its third creditor distribution of $220.6M, primarily in BTC and ETH, raising cumulative recoveries to ~64.9% of eligible claims. Over 251,000 creditors have received payouts since 2024.

What this means:
This is bearish for CEL’s price, as increased sell pressure from creditors liquidating distributions could suppress short-term demand. However, it signals progress in resolving one of crypto’s largest bankruptcies. (CoinMarketCap)

3. Tether Settles Celsius Lawsuit (14 October 2025)

Overview:
Tether settled Celsius’s $4.5B lawsuit for $299.5M, resolving allegations it improperly liquidated 39,542 BTC collateral in 2022. The Blockchain Recovery Investment Consortium (BRIC) facilitated the agreement.

What this means:
This is bullish for Celsius creditors, freeing capital for future distributions. However, the settlement represents just ~7% of the original claim, underscoring the challenges of recovering full value post-collapse. (Decrypt)

Conclusion

Celsius remains entangled in legal and regulatory aftershocks, with creditor recoveries progressing slowly and new laws reshaping bankruptcy dynamics. While settlements and distributions mark incremental progress, CEL’s utility and price face headwinds from ongoing sell pressure. Will regulatory clarity accelerate the final resolution of Celsius’s bankruptcy saga?

Deep Dive

1. Creditor Distributions (Ongoing)

Celsius continues distributing assets to creditors under court supervision, with a third $220.6M payment underway as of August 2025 (CoinMarketCap). Cumulative recovery reached 64.9% of claims, prioritizing repayments over new development.

What this means: Neutral for CEL – While resolving obligations may stabilize sentiment, no direct utility or protocol upgrades are tied to these payments.

2. Tether Litigation (2025)

A U.S. bankruptcy judge allowed Celsius to pursue its $4B lawsuit against Tether over alleged improper BTC collateral liquidation in June 2022 (Coindesk). A $299.5M settlement was announced in October 2025, but further proceedings could impact remaining recoveries.

What this means: Bearish for CEL – Prolonged litigation distracts from rebuilding ecosystem trust, though settlements may free capital for future use.

Conclusion

Celsius remains in “wind-down” mode with no active technical roadmap, prioritizing creditor repayments and litigation over product innovation. The lack of development updates suggests CEL’s utility as a governance/ecosystem token remains dormant. How might regulatory clarity around crypto bankruptcies influence Celsius’ ability to pivot post-settlements?

Deep Dive

1. @oxckris: Celsius vs self-custody lesson bearish

"If you put $10K into CEL at the ATH, you’re holding $187 today… CeFi promised safety. Self custody actually delivered it."
– @oxckris (1.4K followers · 49.7K impressions · 2025-11-16 14:49 UTC)
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What this means: This comparison fuels skepticism about CeFi recovery narratives, potentially deterring new capital despite CEL’s 197% 7D pump.

2. @BiziBrainFX: Velvet Capital integration neutral

"CEL + VELVET is a good reminder that the best moves often come from slowing down… observing real signals instead of emotion."
– @BiziBrainFX (1.5K followers · 2.4K impressions · 2025-12-10 12:26 UTC)
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What this means: Institutional-grade tooling adoption suggests maturing trading strategies, though liquidity remains thin ($1.4M 24H volume).

3. @ftr_investors: PepsiCo partnership expansion bullish

"Celsius takes over Rockstar in U.S./Canada… PepsiCo lifts stake to 11%. Can Celsius become the next global energy leader?"
– @ftr_investors (38.9K followers · 24.6K impressions · 2025-08-29 11:26 UTC)
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What this means: Traditional corporate backing could stabilize CEL’s utility demand, though crypto-native distrust persists post-bankruptcy.

Conclusion

The consensus on $CEL is mixed – corporate partnerships and creditor repayments (64.9% recovered) counterbalance deep-seated investor trauma. Watch the $220M third creditor distribution completion rate for signals about operational credibility. Can restructuring outpace the stench of CeFi’s darkest chapter?

Deep Dive

1. Bankruptcy & Legal Focus (2022–2025)

Overview: Celsius’ codebase development has stalled since its July 2022 bankruptcy filing. Resources shifted to restructuring, creditor repayments, and litigation.

The platform halted app updates and feature development after freezing withdrawals in June 2022. Recent activity centers on legal battles (e.g., the $4B Tether lawsuit) and settlements rather than technical upgrades.

What this means: Neutral for CEL. While repayments may stabilize token sentiment, the lack of protocol development limits utility-driven demand. (Source)

2. Creditor Repayments (August 2025)

Overview: Celsius distributed $220.6M to creditors in August 2025, bringing total recovery to ~64.9% of claims.

Funds were disbursed in crypto and cash equivalents, with no indication of platform reactivation. The focus remains on resolving liabilities rather than rebuilding services.

What this means: Bullish short-term. Creditor distributions reduce sell pressure from claims, but long-term viability hinges on operational revival. (Source)

3. Tether Settlement (October 2025)

Overview: Celsius secured a $299.5M settlement from Tether in October 2025, resolving claims over improper BTC collateral liquidation.

The settlement boosts creditor recoveries but doesn’t signal renewed development. Litigation outcomes remain the primary driver of Celsius’ financial trajectory.

What this means: Neutral. Funds aid creditors but don’t address CEL’s utility deficit or technical roadmap. (Source)

Conclusion

Celsius remains in wind-down mode with no active codebase development. While repayments and settlements mitigate downside risks, the token lacks fundamental catalysts without platform revival. Could creditor resolutions pave the way for a future technical overhaul?