Update July 2022: I have been warning users about Celsius for years, and the recent bankruptcy declaration from Celsius is no surprise to me or many others who warned of the many red flags they had over the years. Here is the full text I wrote years ago:

While it is my opinion, I would HIGHLY advise against using Celsius. Here are a few reasons why CEL is not trustworthy:

No automatic liquidations. If the crypto market tanks, they are royally f’d. Nobody will pay back their loans. Collateral will be worthless (at that moment in time in the market).

Offering OTC discount with only 30 days lockup period. Selling stock at a discount is illegal for a reason. But we are dealing with crypto, okay, it’s different. But imagine this. Tesla tells you, buy shares at 10% discount. You can sell them next month for normal price. How is that sustainable? It’s not! They are desperate for cash.

Cel refuse to contact cointracking sites to update their market cap. (It’s approx 1-2B wrong, less, on most if not all tracking sites). Why won’t they do it? Because people would see how overvalued their token is at this moment in time.

A CEO that constantly talks shit about other companies like a 12 year old on twitter, great sign.

2B “Reserves” they claim to have (also as “insurance”) a large portion is in CEL TOKENS. Good luck selling them when cel token dumps…

Take the recent minimum loan withdrawal increase that Nexo implemented a few weeks back. 5k for stablecoins and $500 for fiat. Gas fees are crazy so it makes sense. What did CEL do? They kept stablecoin minimum the same, but increased FIAT withdrawals to $10k.. Does that make any sense to you?? If that doesn’t prove that they don’t have cash (USD, EUR, GPB) then I don’t know how else to put it to you.

They lost $34m in their last yearly financial report. They had to sell equity lat year to raise money to stay afloat. Source, official UK government company information: https://find-and-update.company-information.service.gov.uk/company/11198050/filing-history/MzI5MjgyOTQwM2FkaXF6a2N4/document?format=pdf&download=0

August 21, 2022
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