Crypto lender Celsius opens up withdrawals

Customers who held Celsius custody accounts have been able to withdraw their funds from the bankrupt crypto lender as of 2 March

Bankrupt crypto lender Celsius Network has at last opened up withdrawals for certain customers, nearly a year after it suspended withdrawals before filing for Chapter 11 bankruptcy.

Customers who held Celsius custody accounts have been able to withdraw their funds from the bankrupt crypto lender as of 2 March.

According to Celsius’ official statement, withdrawals were reopened for ‘Distributable assets in certain Custody Accounts.’

Delighted Celsius customers have been sharing their withdrawal experiences on social networks such as Twitter and Reddit.

The withdrawals restarted 263 days after they were first suspended in June 2022. Customers who were eligible to withdraw got an email from the firm, which asked them to put forward requests for withdrawals after KYC completion.

Details about withdrawal eligibility were shared by Celsius last month. The document mentioned that customers who had only held funds in Custody Accounts were eligible to withdraw funds, much to the surprise of Earn Account customers.

The eligible customers are permitted to withdraw 94 per cent of their funds. The remaining 6 per cent depends on the result of future court hearings.

As for those who had transferred funds from Earn accounts to custody accounts, the withdrawal limit has been set at 72.5 per cent, with withdrawals of no more than $7,575.

Elated customers rushed to get hold of their funds, resulting in a significant backlog of withdrawal requests. The backlog resulted in delays in withdrawals, which a number of users complained about.

Customers who whitelisted their wallets were reportedly able to get their withdrawals processed much faster. Users on Reddit reported a wait time of 24 hours for USD coin withdrawals. Some withdrawal requests have seemingly been converted to support tickets by Celsius staff.

News of the withdrawal restart caused Celsius Network’s native token CEL to drop. As per data from CoinMarketCap, the token, at one time, was trading at $0.37, down over 21 per cent during the past 24 hours.