Celsius

United

Read

The US division of cryptocurrency exchange Bittrex is planning to begin client withdrawals on June 15 after a ruling by a Delaware bankruptcy court.



<a href="https://crypto.news/bittrex-files-for-bankruptcy-in-the-united-states/">After declaring bankruptcy in May</a>, the United States government fought Bittrex&#8217;s efforts to restore customer access to their assets, claiming millions in unpaid penalties for sanctions breaches.



On June 13, Judge Brendan Shannon issued an order allowing Bittrex U.S. and its affiliates to facilitate the withdrawal of cryptocurrency assets and fiat cash from the platform on behalf of clients whose claims were uncontested, noncontingent, and resolved.



However, the judgment does not determine who owns the assets or how government claims compare to individual customers. It also leaves the door open for possible clawbacks in the future.




 
 You might also like:

 <a href="https://crypto.news/coffeezilla-rips-celsius-network-scandal-wide-open/">
 Coffeezilla rips Celsius Network scandal wide open </a>
 




Bittrex&#8217;s legal counsel, Patty Tomasco of Quinn Emmanuel, through an email made public on June 15 gave the information on the planned resumption of withdrawals.



After stating in March that it would end U.S. operations, Bittrex saw a flood of withdrawal requests in the weeks leading up to its bankruptcy filing on May 8. The company&#8217;s U.S. arm has $300 million in client cash and <a href="https://crypto.news/price/bitcoin/">bitcoin</a> as of May 10. 



To prevent protracted litigation, the firm requested that customers be allowed access to their cash throughout the bankruptcy process, which is unusual.



<figure class="wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio"><div class="wp-block-embed__wrapper">
<iframe title="Bittrex Crypto Exchange Bankrupt. Is this the end?" width="1020" height="574" src="https://www.youtube.com/embed/vOgP3ZKf4ms?feature=oembed" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" allowfullscreen></iframe>
</div></figure>



Bittrex, <a href="https://crypto.news/sec-sues-coinbase-just-hours-after-binance/">like Binance and Coinbase</a>, has been accused by U.S. officials of breaking the law by running an unregistered securities exchange.




 
 Read more:

 <a href="https://crypto.news/us-government-challenges-bittrex-uss-motion-to-return-customer-crypto-assets/">
 US Government challenges Bittrex US’s motion to return customer crypto assets </a>

Bankrupt crypto exchange Bittrex to enable withdrawals

crypto.news

Other articles published on Jun 14, 2023

Cryptocurrency Turmoil: Bitcoin Dips Below $26,000 Amid Regulatory Pressure

Giddy vs. ZenGo: Deciphering the Future of Crypto Wallet Security

Ripple Calls for Investigation into SEC Official's Speech on Cryptocurrencies

Three Promising Altcoins Set to Surge: Technical Analysis Insight

Connext Labs Bags $7.5M to Help Developers Bring Web3 Apps to the Mainstream

Shido - The Home of DeFi

Join our free newsletter for daily crypto updates!