Celsius Network was a centralised crypto lending platform that offered high yields on deposited crypto — attracting over 1.7 million customers and $12 billion in assets. In June 2022, Celsius froze all withdrawals amid a liquidity crisis and filed for bankruptcy.
2017
Celsius Network founded by Alex Mashinsky
2021
Celsius reaches $20B in assets; CEL token pumps
2022
Celsius freezes withdrawals June 12 — customers locked out
2022
Celsius files Chapter 11 bankruptcy with $1.2B balance sheet hole
2023
Alex Mashinsky arrested on fraud and market manipulation charges
2024
Mashinsky pleads guilty; sentenced to 12 years in prison
Crypto yield generation, lending, borrowing — now defunct
💡 Did You Know
Celsius CEO Alex Mashinsky frequently appeared on social media promoting high yields until the week before the platform collapsed
⚠ Controversies & Red Flags
Celsius used customer deposits for high-risk DeFi strategies and lending to hedge funds. When markets crashed, it could not return customer funds.