Celsius Network Crash: Billions Lost as Crypto Lending Giant Freezes Withdrawals and Files for Bankruptcy
Celsius Network was a popular platform where users could deposit their cryptocurrencies and earn interest. But in June 2022, the platform froze all withdrawals after facing a liquidity crisis—it didn't have enough funds to pay back users. By July, Celsius filed for bankruptcy, leaving billions in deposits locked up. The company had invested heavily in risky assets, and when the market crashed, it couldn't meet customer demands, highlighting the dangers of unregulated crypto lending platforms.