Who Owns Your Coins?
Bloomberg Crypto17 Jan 2023

Who Owns Your Coins?

It was an unwelcome ruling for about 600,000 Celsius account holders, who are probably wishing they’d read the fine print more closely before investing. Or put more stock in the crypto mantra “not your keys, not your coins.”

Earlier this month, federal Bankruptcy Judge Martin Glenn found that when people deposited assets with the now bankrupt crypto lender Celsius - and in exchange received interest on those deposits - those assets became the property of Celsius. This makes customers of the so-called Celsius “Earn Program” unsecured creditors - unlikely to get all their money back from Celsuis, (again because, well, bankruptcy).

Many investors signed up for these accounts in part because of the potentially high returns Celsius promised on their deposits - up to 18 percent. That’s far more interest than you’d make at a savings bank. But unlike at a bank, the deposits, held in crypto, were not covered by federal deposit insurance.

To give some context, the value of those accounts back in July topped $4 billion.

This ruling could impact other crypto platform arrangements.

Bloomberg’s Jeremy Hill joins the episode to break down the judge’s opinion and explain its wider implications.

Subscribe to the Bloomberg Crypto Newsletter at https://bloom.bg/cryptonewsletter

This podcast is produced by the Bloomberg Crypto Podcast team: Supervising producer: Vicki Vergolina, Senior Producer: Janet Babin, Producers: Sharon Beriro and Muhammad Farouk, Associate Producers: Mo Andam and Ty Butler. Sound Design/Engineer: Desta Wondirad.

See omnystudio.com/listener for privacy information.

Avsnitt(224)

Why Do Artists Need Labels When They Have NFTs?

Why Do Artists Need Labels When They Have NFTs?

Venture capitalists and certain people in the music industry are enthusiastic about the potential for artists to benefit from technology like the blockchain and NFTs. But there isn’t universal agreeme...

9 Aug 202219min

Can the Blockchain Have a Good Use Case for Gaming?

Can the Blockchain Have a Good Use Case for Gaming?

The gaming industry is bigger in revenue terms worldwide than the film and television industries combined. But it also continues to deal with hard and necessary conversations over who benefits from th...

8 Aug 202217min

Who and How To Regulate Crypto

Who and How To Regulate Crypto

With every additional bankruptcy filing or accusation of insider trading in crypto, regulators seem to turn up the heat ever so slightly when it comes to their focus on the digital asset industry. But...

5 Aug 202219min

Ape Now, Pay Later

Ape Now, Pay Later

If you’re an avid online shopper, you’ve probably realized that digital "buy now, pay later" options from companies like Klarna and Afterpay have skyrocketed over the last several years. Now, BNPL has...

4 Aug 202213min

Coinbase Conundrums

Coinbase Conundrums

It’s safe to say that Coinbase has had a rough couple of months. The threat of federal regulation of some of its tokens has been looming for more than a year, but really started heating up over the la...

3 Aug 202217min

The SEC Probably Thinks This Is A Security

The SEC Probably Thinks This Is A Security

One of the most interesting conversations in crypto right now is all about definitions, and especially the definition of a so-called security. Who better to tackle this than Bloomberg Opinion columnis...

2 Aug 202219min

What Happens When Cops Seize Crypto and Bitcoin

What Happens When Cops Seize Crypto and Bitcoin

Picture this: you’re the FBI, trying to track down the digital keys that will give you access to illicit or stolen crypto. In 2021 alone, cops in the U.S. and U.K, seized billions of dollars in Crypto...

1 Aug 202220min

Because Crypto Is Always Awake

Because Crypto Is Always Awake

Those who are new to the world of crypto might find themselves intimidated by (or attracted to!) the volatility, complexity, and  frantic pace of an asset class that quite literally never sleeps. The ...

29 Juli 202218min

Populärt inom Politik & nyheter

svenska-fall
aftonbladet-krim
p3-krim
rss-krimstad
spar
fordomspodden
flashback-forever
rss-sanning-konsekvens
aftonbladet-daily
rss-vad-fan-hande
motiv
rss-krimreportrarna
rss-frandfors-horna
politiken
krimmagasinet
kungligt
rss-expressen-dok
rss-flodet
rss-aftonbladet-krim
dagens-eko