About a week ago, a settlement was reached between Celsius and Celsius Custody account holders. As a result, the latter group was promised a refund of up to 72.5 – half on the spot and half by the end of the year – provided they signed away their right to further litigation.
Earn Users Hung Out to Dry
However, the vast majority of users did not have Custody accounts. Owners of Earn accounts were not promised a refund, as the judge agreed that Celsius’s ToS proved that the customers had signed over their crypto. The only compensation promised to these clients was equity in a new company founded by the deal’s sponsor.
Luckily for some Earn users, there is a silver lining.
Yesterday evening, Ray Youssef – Paxful’s CEO – announced he would be refunding those in the Paxful community who were also Celsius Earn users.
We have done the right thing and refunded @paxful users who lost funds with Celsius Earn. I could not stand by and watch them suffer, so we’ve made them whole. Our users always come first to me, this is the way !
