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The collapse of several cryptocurrency platforms this year is testing the industry’s promise of user privacy as bankruptcy courts weigh if millions of individual customers’ identities should be revealed to the public.
Hundreds of thousands of customers of Celsius Network LLC have already lost their anonymity because of its chapter 11 filing after a court ruling in September forced it to disclose its account holders’ names and coin balances. A different bankruptcy court is expected to consider next month if failed crypto exchange FTX can seal information on its customers’ identities and contact information from its publicly-available filings.
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