Celsius Network has frozen withdrawals, citing “extreme market conditions” as the value of the digital asset market plummets and crypto communities are facing with difficult decisions ahead.
BTC dropped to a 17-month low following the Celsius announcement, while ETH quickly followed reaching its lowest price since January 2021.
Celsius announced it was “pausing” all withdrawals and transfers between accounts for over 1.5 million investors.
“Due to extreme market conditions, today we are announcing that Celsius is pausing all withdrawals, swap, and transfers between accounts,” Celsius said. “We are taking this action today to put Celsius in a better position to honour, over time, its withdrawal obligations.”
As the news hit the market, immediate reactions have started appearing from Celsius customers and crypto communities worried about the ripple effect this will have both long and short term.
Nonetheless, solutions are in sight as well.
Chainge Finance, a leading DeFi utility app and one of the most liquid cross-chain aggregators on the market, states the only solution to minimize damage is Celsius decentralization
As a result, Chainge has presented Celsius with a non-binding offer to aquire its debt and qualifying assets, with further details and VC colaboration to be discussed behind closed doors.
“The logical way out of this unfortunate situation is for us to achieve Celsius decentralization together. Moving the assets from a centralized entity to another would not make sense as this is a time when users’ ownership rights over their assets are primordial” said DJ Qian, founder & CEO of Chainge Finance.
About Chainge Finance
Chainge Finance is a next generation DeFi app that stands as the most liquid web3 trading venue on the market. Chainge provides various crypto management tools such as a cross-chain wallet integrating 24+ EVM & non-EVM compatible chains - so that users can seamlessly swap, send and receive crypto assets across networks - an Escrow Module, a top DEX Aggregator, a Futures DEX, and the very first decentralized Options DEX — all powered and secured by the innovative Fusion DCRM technology.