Celsius Network, the U.S.-based cryptocurrency platform, is facing host of challenges that are hampering its path to recovery, according to a report.
The report said that the largest cryptocurrency lending platform’s safety and financial stability are hampered by the challenges of the U.S. Securities and Exchange Commission (SEC) and Commercial Bank of California. It was also noted that Celsius Network’s ability to accept new deposits has been affected due to the SEC’s ongoing investigations into its business operations.
The report noted that the SEC has been monitoring Celsius since March 2019 for providing prohibited investment advice, inadequate disclosure behavior, unregistered broker-dealers, and jurisdiction issues. Additionally, the Commercial Bank of California has issued an order to cease and desist because the bank views Celsius’ operations as a conflict of interest.
The SEC and Commercial Bank of California’s rulings also led to the freezing of Celsius user funds, leading to litigation in a New York court. Despite these challenges, Celsius is moving ahead with its plans and working with legal and financial experts to improve its operations and provide the best experience to its customers. The report concludes that despite these challenges, Celsius is still able to attract new customers due to its experienced team, reliable services, and innovative products.