Celsius Network’s collapse into bankruptcy

4 min readNov 24, 2022

In this article, we will analyze what happened to one of the most important platforms of CeFi and fintech as well as the most famous loan company in the crypto industry, which has caused, in recent months, a lot of scandals that have led to inspections by the U.S Department of the Treasury.

What is Celsius Network?

Celsius Network is a CeFi platform that acts as an intermediary, allowing its users to deposit liquidity by becoming creditors, receiving annual interest as a reward, and applying for a cryptocurrency loan.

The application can be accessed from both smartphones and computers. Unlike its competitors, it has many currencies on which to receive interest and compensation in the native CEL token.

Another interesting feature is Celpay, the cryptocurrency transfer service. Thanks to this function, you can transfer coins to anyone you want by simply sending them a link.

All other competitors identify the transfer of coins to different addresses as a withdrawal of their currencies and only later as a transfer to another address. Celsius, on the other hand, saves its users unnecessary commissions for transfers within its servers.

A crucial role is played by its token, CEL; its holders have a lot of benefits such as