Celsius Wins $300M From Tether in Bankruptcy Ruling, Far Below $4.3B Claim

Celsius Network’s bankruptcy estate has secured nearly $300 million from Tether after a United States court approved a settlement that ends their long-running legal fight. The agreement brings closure to one of the most significant disputes in Celsius’s bankruptcy proceedings. However, it covers only a fraction of the $4.3 billion the company originally sought.

The Blockchain Recovery Investment Consortium (BRIC), which now oversees Celsius’s restructuring, announced the settlement. The move marks a major step toward completing the firm’s recovery process. BRIC, a joint venture between VanEck and GXD Labs, described the resolution as a significant milestone in closing Celsius’s bankruptcy chapter.

Executives React to Settlement

GXD Labs managing partner David Proman confirmed that the settlement resolves all claims between Celsius and Tether. He noted that the decision allows BRIC to focus on returning value to creditors without further litigation.

Tether shared a similar view. In a post on X, CEO Paolo Ardoino said Tether was satisfied to have settled all matters linked to the Celsius bankruptcy.

Tether is pleased to have reached a settlement of all issues related to the Celsius bankruptcy.

— Paolo Ardoino 🤖 (@paoloardoino) October 14, 2025

Celsius vs. Tether

Celsius filed for bankruptcy in July 2022 after revealing a $1.2 billion shortfall in its balance sheet. The company exited bankruptcy protection in November 2023 under BRIC’s management. BRIC was tasked with recovering illiquid assets and resolving pending lawsuits on behalf of creditors.

Following its restructuring, Celsius filed a case in the U.S. Bankruptcy Court for the Southern District of New York in August 2024. The company accused Tether of liquidating 39,542 bitcoins before a mandatory 10-hour waiting period expired. The firm claimed the early liquidation deprived it of billions of dollars in potential recovery value.

Subsequently, Judge Martin Glenn allowed Celsius to proceed with most of its claims in July 2025. The decision led to settlement talks that produced the $299.5 million agreement. The payout represents roughly 7% of the damages Celsius had originally sought.

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