A global bitcoin exchange will dig into its own coffers to make up for users who lost money due to the Celsius collapse.
Global peer-to-peer Bitcoin platform Paxful has announced that it will provide nearly nine bitcoins worth ~$250,000.00 to Paxful Earn users affected by the Celsius collapse.
The funds will be transferred to your Paxful wallet this week. Paxful Earn was launched in partnership with Celsius to give Paxful users the opportunity to earn from Bitcoin. However, users were unable to withdraw funds from Celsius when the latter collapsed, leaving Paxful paralyzed and unable to retrieve the funds. About 600,000 interest-bearing accounts, including Paxful Earn users, were affected when US Bankruptcy Judge Martin Glenn ruled that assets in Celsius Earn accounts belong to the bankrupt Celsius, not the users.
Ray Youssef, founder and CEO of Paxful, said, “The court failed this Celsius user. The US government prefers to save traditional banks, but Bitcoin users are not a priority. This does not suit me, and I have taken action to ensure Paxful Earn users receive Celsius funds complete
Since the fall of Celsius, Paxful has been encouraging its own Bitcoin holdings and advocating for users to hold their own Bitcoins. Paxful also supports financial literacy and transparency, having recently donated funds to build a Bitcoin Technology Center in Ghana to spread financial education.
Youssef says that customer trust is hard to earn and even harder to keep, and that he will prioritize Paxful users. According to him, the company’s main focus is its customers and has launched various initiatives to support its customers. He mentioned the company’s involvement in charity work and social impact, such as providing funds to build a school in Rwanda and donating money to aid pandemic relief efforts in India.