Celsius Network attracts Federal investigation- Details you need to know

ambcrypto.com:

Crippled crypto lender Celsius Network is reportedly facing a federal investigation in the United States. 

As per a filing made by the Celsius Official Committee of Unsecured Creditors (UCC), the defunct lender is facing enforcement actions in as many as 40 U.S states, in addition to “investigations or inquiries involving the federal government.”

Celsius is facing increasing scrutiny from multiple regulatory agencies, thanks to recent developments amid its bankruptcy proceedings.

The Securities and Exchange Commission, Federal Trade Commission, and the Commodities and Futures Trading Commission have all sent inquiries to the bankrupt lender recently.  

Regulators from the state of Texas and Vermont had previously filed motions in the bankruptcy court to block a proposed stablecoin sale by the lender. 

Judge Martin Glenn, who is presiding over Celsius’ bankruptcy proceedings, wrote in a filing dated 17 October that he intends to look abroad for guidance in the case due to a lack of U.S legal precedents. 

The judge will likely refer to the “Digital Assets: Consultation Paper” published by the Law Commission of England and Wales. 

Speaking on the oversight of the court-appointed examiner for this case, attorneys for the UCC argued that the attention being given to the ongoing federal investigations will benefit government agencies in the form of fines, and penalties, but likely harm the creditors and stakeholders of Celsius. 

The UCC has expressed concern over the expenses associated with the examiner, which are estimated to be in the vicinity of $5 million. 

“Such amounts, if actually incurred, would warrant close scrutiny by the Committee, the United States Trustee, and any fee examiner in light of the Examination’s current