Hope for depositors dwindles as crypto lender Celsius files for bankruptcy
Washington PostMAY 2022
The Spin
Narrative A
This bankruptcy - hot on the heels of the lawsuit against the crypto lender - is bad news for Celsius and its customer whose chances of accessing their funds have now been dashed. The walls are closing in on Celsius and its demise highlights the doom and dire situation the crypto market has currently found itself in.
Narrative B
While Celsius is in a tight spot, the company has begun to pay off overcollateralized loans - unlocking more assets to pay off further loans - and this bankruptcy will allow the crypto lender to reorganize. There is hope for the company.