Bankrupt Crypto Lender Celsius Has $1.2B Hole In Balance Sheet, Owes Creditors $5.5B

A recent court filing revealed a $1.2 billion hole within the balance sheet of crypto lender Celsius CEL/USD.
What Happened: Celsius has had an extremely tumultuous few months, facing large-scale illiquidity and having had to freeze cryptocurrency withdrawals from its platform.

In a recent court filing, Celsius advisory partner Kirkland & Ellis revealed that Celsius has $5.5 billion in liabilities, with $4.3 billion worth of assets.

The $1.2 billion hole in Celsius Network’s balance sheet derailed a potential deal with FTX FTT/USD. In the past week, Celsius has made significant loan repayments, repaying $258 million to Compound (CRYPTO:  COMP), $235 million to Aave AAVE/USD, and $223 million to Maker MKR/USD.

Despite its loan repayments, Celsius must continue to build upon its assets to fill the hole in its balance sheet and prevent liquidation. However, this is a daunting task considering the bearish downtrend for crypto markets, in which numerous lending and borrowing firms have faced liquidity crunches due to falling price levels for Bitcoin BTC/USD and other tokens.

Posted In: CelsiusCryptocurrencyNewsMarkets

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.