When cryptocurrency lending platform Celsius froze user accounts amid a plunge in valuations, it sent ripples across the industry and raised questions about what happens to user assets if a crypto platform files for bankruptcy. WSJ’s Vicky Ge Huang explains. Photo illustration: Jordan Kranse
It has been three weeks since crypto lender Celsius Network LLC took the drastic step of halting customers’ withdrawals. Many people are starting to wonder if they will ever see their money again.
Alla Driksne says she has six figures worth of bitcoin and ethereum—her life savings—tied up in a Celsius account. On June 12, a Sunday, the company , saying it needed “to stabilize liquidity and operations.” Ms. Driksne couldn’t sleep for two days.