The paralysis of the Celsius Network platform drags cryptocurrencies down again

The paralysis of the Celsius Network platform drags cryptocurrencies down again

New crash in cryptocurrencies. Assets such as Bitcoin or Ethereum reap heavy losses in value this Monday, dragged down by the blocking of the Celsius Network exchange platform. The company has announced that it is blocking operations between accounts and withdrawals of money by clients after several months in which it has lost half of the assets under management. This fact has caused a new pothole in the image of these assets, plummeting their market value.

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The American company, which manages some 12,000 million dollars, assures that it makes this decision in order to stabilize the market and find an alternative so that its clients can operate again. The Financial Times reported on Monday that in just six months the company has lost half of the assets it had under management. To this is added that doubts about this company have reduced the value of its own cryptocurrency by 50% in just 24 hours.

The British media points to Celsius as one of the largest cryptocurrency exchange operators in the world and the company's own founder, Alex Mashinsky, claimed a few months ago that the company was valued at more than 3,100 million dollars.

"We understand that this news is difficult, but we believe that our decision to pause withdrawals, exchanges and transfers between accounts is the most responsible action we can take to protect our community," the company said in a statement. a statement on your own website. “We are working with a singular focus: to protect and preserve assets to meet our obligations to clients. Our ultimate goal is to stabilize liquidity and restore withdrawals,” he notes. "There is a lot of work ahead," settles the statement.

The problems for Celsius and its cryptocurrency come just weeks after the collapses of two other such assets, Terra and Luna. Billions of dollars were lost in a matter of days, dragging down the biggest names in this market, such as Bitcoin and Ethereum. This Monday the first falls by 9% and the second by more than 13%, dragged down by the fall in Celsius.

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