CryptosBeginner
Label map showing insolvency as a research category

Dead, abandoned and obsolete · Insolvency

Celsius Network

Celsius marketed high-yield crypto accounts, paused withdrawals in June 2022 and filed for US bankruptcy protection the following month.

InsolvencyConfidence: high

What happened

In June 2022 Celsius paused withdrawals, swaps and transfers. In July 2022 it filed for Chapter 11.

What failed

Users thought they could withdraw on demand. Their assets were exposed to lending and market risk inside a centralised company.

Current status

The original Celsius yield product is gone. Any distribution belongs to the court-supervised process.

What users should do

  • Follow official bankruptcy notices rather than social-media payout rumours.

Lessons

  • If a platform can pause withdrawals, your deposit is not cash in a wallet you control.

Primary sources