Bankrupt crypto lender Celsius owes users $4.7 billion, court document reveals
- Celsius Network, which filed for bankruptcy protection on July 14 declared that it owes customers $4.7 billion.
- Celsius’s total liabilities amounted to $5.5 billion while its total assets stood at $4.2 billion.
Celsius Mining, a crypto mining unit of the embattled crypto lender has also filed for bankruptcy.
Celsius’s total liabilities amounted to $5.5 billion while its total assets stood at $4.3 billion as on July 13, the document showed. The crypto lender had earlier repaid its loans to DeFi lending protocols Aave, Maker DAO and Compound.
The collapse of stablecoin Terra Luna in May 2022 has sent the crypto market on a downward spiral and drowned many companies in its wake, including Celsius. Stake ethereum, which was used as collateral for loans on Celsius, also collapsed leading to the company’s downfall. Celsius filed for bankruptcy protection on July 14.
The US-based lender suspended all withdrawals on June 12 and laid off over 500 employees.
Alongside Celsius, its crypto mining unit Celsius Mining has also filed for bankruptcy. Last year, the company had invested over $500 million in
The crypto market has lost over $2 trillion in value since January 2021. The industry is seeing a wave of bankruptcies and layoffs. Bitcoin touched $19k on Thursday, its lowest since December 2020.
SEE ALSO: Explained: Five things to know about US-based crypto lender Celsius’s crash
IAMAI dissolves Blockchain and Crypto Assets Council, to no longer represent crypto exchanges
Indian ‘green’ blockchain startup raises $100 million, turns unicorn in a crypto bear market
Popular on BI
- 10 cafes in Bangalore offering the best of ambiance and cuisine
- Centre's fiscal deficit at Aug-end touches 36% of full-year target: CGA
- Domestic occupiers keep office space demand high in 2023
- Nifty, Sensex bounce back on Friday but experts see resistance at higher levels
- Temperature's Toll: Hospitals see a surge in drug and alcohol abuse-related visits on hotter nights, study reveals