- Tether has hit back at Celsius over its lawsuit against the stablecoin issuer.
- Celsius is seeking to recover over $2 billion in Bitcoin from Tether.
- Tether dismissed the lawsuit as “baseless” and “meritless shakedown.”
USDT issuer Tether has affirmed its commitment to “vigorously” defend itself against Celsius’s complaint suing the company and certain of its affiliates for billions in damages.
Celsius sued Tether on August 9, accusing the stablecoin issuer of unlawfully liquidating its Bitcoin collateral to recover an outstanding loan owed by the bankrupt crypto lender. Celsius alleged that the liquidation was in breach of a token agreement signed by the two companies.
Tether’s Response
Terming it a “baseless lawsuit,” Tether said the complaint sought to improperly impose the costs of Celsius’ mismanagement and failure on the stablecoin issuer. In the court filing, Celsius sought to recover about $2.4 billion in Bitcoin from Tether, claiming it was lost in “fraudulent transfers.”
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Tether argued that the complaint was characterized by misrepresentation of facts and ignored the “numerous” defenses the company has to the claims asserted against it by Celsius.
“We look forward to responding in court to this contrived, meritless shakedown that will benefit nobody other than the lawyers, bankers and consultants involved in bringing this case.” The statement read. “As we’ve said many times, Tether will never fall prey to shameless litigation money grabs.”
Separately, Tether CEO Paolo Ardoino expressed confidence that the company would win the lawsuit, citing “plenty of flaws in the claimant’s filing.”
“This lawsuit will be fought till the end. It's important to set an example on behalf of the entire industry that shameless money grabs will not work.” Ardoino wrote.
Tether clarified that the lawsuit won’t impact USDT holders.
Stay updated on Tether’s USDT minting on Tron:
Tether Minted $1 Billion on Tron, Does It Signal a Bull Run?
Read about Tether’s move to strengthen USDT compliance and reporting:
Tether Taps ex-Chainalysis Economist to Report on USDT’s Use Cases
