Celsius suspends operations with crypto assets on the platform

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Crypto lending platform Celsius is suspending withdrawals, exchanges and transactions of digital assets due to “extreme market conditions.”

Celsius said it was suspending operationswith crypto assets, but intends to “restore withdrawals, swaps and transfers between accounts as quickly as possible.” However, the timing of the resumption of service has not been announced. According to the company, "this process will take time and there may be delays."

“We are taking this necessary action onfor the benefit of our entire community, to stabilize liquidity and operations while taking steps to preserve and protect assets,” the statement reads.

However, Celsius customers will continuereceive rewards in accordance with the obligations of the platform. The company claims that this is the best solution in the current market situation, both for customers and for the platform itself:

“We understand that this is unpleasant news, butWe believe our decision to pause withdrawals, exchanges, and inter-account transfers is the most responsible action we can take to protect our community."

The announcement comes just after Celsius informed non-accredited investors that it would prohibit cryptocurrency transactions. After this, the price of the Celsius token (CEL) fell by more than 50%.

Probably one of the reasons for the suspensionuser service is related to Celsius' defection from the Anchor protocol. Before the complete collapse of Terra, the project managed to withdraw $463 million from half a billion allocated assets. At the same time, Nansen analysts consider Celsius one of the culprits in the collapse of Terra.