Cryptocurrency lending platform Celsius Network has exposed a long list of its customers in the lawsuit against the company. The document revealed the names and transaction histories of hundreds of thousands of its customers. Although the list should be kept confidential, a user of the twitter called Foobar had access to the document. According to Foobar, the list is public and available for download on the internet, which he called a “serious security flaw”. “Celsius published a 14,000 page document detailing each user’s full name, linked to the timestamp and value of each deposit/withdrawal/settlement. This terrible breach of privacy will cause many customers to be robbed or even killed,” said the user.
breach of privacy
As verified by CriptoFácil, the document has exactly 14,500 pages and has a series of sensitive data. For example, the list includes customer names, cryptocurrency wallet addresses, transaction types and amounts. In addition, the list shows which services the client had used and the types and amounts of tokens the clients have. That is, the document exposes the privacy of users in a very comprehensive way. Shortly after the list was leaked, Crypto Twitter resonated with force. Most users condemned the breach of privacy and the degree of exposed data. Others, on the other hand, warned of the size of the leak itself. This was the case for Nick Hansen, CEO and co-founder of Luxor. For Hansen, the case of the leak is much more serious than it seems. “This Celsius leak could be one of the biggest customer information breaches of all time,” the executive said. As of this writing, Celsius has yet to provide any explanation as to why the list was leaked. In fact, the company has not even confirmed whether the court hearing its case required the company to provide the list. The news comes after Celsius filed for bankruptcy in July 2022. According to the company, liquidity problems left its balance sheet with a loss of $1.2 billion. As a result, the company has not yet been able to release cryptocurrency withdrawals from all its customers. The company is currently set to auction off its remaining assets as part of its attempts to repay its debts to investors. Exchange FTX appears as one of the main interested in buying the company’s assets.
Executive earnings draw attention
The court case also provides more details on how top executives may have withdrawn money from the platform prior to bankruptcy. Alex Mashinsky, withdrew $10 million before the company’s liquidity problems became public, as CriptoFácil reported. However, the lawsuit was also revealed that Celsius Chief Strategy Officer Daniel Leon withdrew $7 million from the platform before ending user withdrawals. At the current price, the value corresponds to R$ 35 million. Just like Mashinsky Leon resigned from his position on October 4, about a week after the CEO left. Furthermore, Mashinsky’s wife Kristine withdrew 2 million Celsius (CEL) tokens before the platform ended its withdrawals, while current chief technology officer Nuke Goldstein withdrew around $550k in a variety of different cryptocurrencies. Mashinsky responded to allegations of wrongdoing. According to the former CEO, of the US$ 10 million withdrawn, US$ 8 million was used to pay state and federal taxes.
