The founder of BitBoy Crypto accused the Celsius cryptocurrency lending platform of illegally blocking access to funds on user accounts and announced his readiness to file a class action lawsuit.
Ben Armstrong, YouTuber, crypto enthusiast and founder of BitBoy Crypto, accused Celsius of creating artificial obstacles to access users’ current accounts and extorting funds to pay off loan obligations.
“Celsius and @Mashinsky are deceiving people. Our account manager told us that we have enough money in the account to pay off the loan. But we cannot use them, but we must additionally send money to Celsius for redemption, ”- wrote he’s on Twitter.
Armstrong is outraged by the position of Celsius – he called the company bankrupt and suggested that its possible bankruptcy is a matter of time. In his opinion, the only reason why BitBoy Crypto cannot use the money that is displayed on the company’s account is that they are not actually there.
YouTuber said that he intends to initiate a class action lawsuit against the Celsius platform and its CEO. To this end, he began consultations with lawyers and work on collecting evidence.
Celsius’ troubles began immediately after the exit from the Anchor protocol and the collapse of the Terra project, which provoked serious liquidity problems as a result of the fall of the cryptocurrency market. The company suspended withdrawals on June 13 and also moved about $320 million worth of assets to repay loans and avoid liquidation on decentralized finance (DeFi) platforms.
Source: Bits
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