The Weekly News Roundup, ending 19 June 2022 – The Celsius Event

The depth of detail of events that began with Celcius (actually, they began with the collapse of Luna and Celcius is the next chapter in the story) is so broad and deep that I think I will have to outline everything in a Medium piece. So be it. I’ll do a TL;DR instead.


Celcius is a platform that has been around since 2015 that allowed people to deposit their crypto and earn yields (a lot like a traditional bank,) and also borrow crypto (which was charged interest, similar to how traditional banks loan money.) The problem was, that in order to be competitive with other platforms (as well as smart-contract driven decentralized platforms and liquidity pools,) they had to derive income from defi protocols and liquidity pools. When prices fell, it turned out they lacked the liquidity to to maintain their positions. As a result, they had to freeze all withdrawals to maintain what asset base they had. As of this writing, withdrawals are still locked and the platform has retained legal guidance for how to either restructure or cover their positions.

Here are a couple videos that give you a good cross-section of what happened:
Coin Bureau – Crypto News Update
Arca – That’s Our Two Satoshis

In the midst of all this, we come to discover that a gigantic investment fund, Three Arrows Capital, is experiencing a liquidity crisis stemming from dropping token prices and from platforms like Celcius in crisis.

In short, we’re seeing a cascade effect happening in front of our eyes, and more platforms, companies, and possibly protocols will buckle under.

And you can be 100% certain that this will add fuel to rhetoric and the eventual regulations and laws around disclosure and compliance for these platforms.
As a side note, it wasn’t until someone uncovered it that we learned that Celcius was starting up a bitcoin mining operation.

More to come, please read through the tweets below to learn more. They are very detailed and give good picture of how bad the situation is.

Celsius Hires Restructuring Attorneys, Looking for Financing Options: Report

Nexo Proposes Buyout of Celsius Assets as Crypto Lending Rival Halts Withdrawals

Celsius Calls on Citigroup for Options After Liquidity Squeeze, Report Says

Crypto lender Babel Finance halts withdrawals due to liquidity pressures

Maker cuts off Aave’s Dai supply as fallout from Celsius continues

Three Arrows Capital has failed to meet margin calls: Report

Three Arrows-backed Protocol Says Major Chunk of Treasury Is Unaccounted For

Hindsight 20/20: The ‘Missed’ Signs Of The Celsius Insolvency

Comments and suggestions, reach out -> hello @

Be well, Everyone.

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Articles on Medium this week


The Cost of Crypto Podcast

This Week In Twitter




CBDC (are just Surveillance Tokens)

Company / Product / Project News

CipherTrace report shows a decline in illicit activity in the crypto ecosystem


DeFi and Lending
What’s Going on With Celsius Network and Why Is It a Huge Risk for Crypto
‘Few Are Feeling OK’: Celsius Investors Unlikely to Fund Bailout: Report
Texas securities regulator investigates Celsius over withdrawal suspension: Report
Magic Internet Money token depegs as Terra (LUNA) domino effect persists
BlockFi liquidates major counterparty after it fails to meet margin call
BlockFi fined $943,000 for not registering securities in Iowa; to pay $100M in settlement
Crypto lender Babel Finance halts withdrawals due to liquidity pressures
NEXO price drops 40% in three days on rumors of ties to ‘insolvent’ crypto fund
SEC Chairman Warns of Crypto Lending Platforms With Unrealistic Returns

This Week In DeFi – June 17

SEC Opens Investigation Into Insider Trading on Crypto Exchanges: Report
Coinbase to layoff 1,100 employees after petition against executives

Fundraising and Sponsorships

Mark Cuban: Crypto Firms Sustained by ‘Cheap, Easy Money’ Will Disappear in Crash
MicroStrategy CEO Sheds Margin Call Woes As Bitcoin Nears $21,000

Implementation and Infrastructure

Metaverse / Web3

Russia: Oil Company Gazpromneft To Launch a Cryptocurrency Mining Operation With BitRiver
Ethereum mining no longer profitable for many miners as energy prices and ETH dip cause perfect storm [with the Merge coming, GPU mining is looking a LOT less appealing]
Texas Is The Bitcoin Mining Capital
Crashing Prices Expose Bitcoin Mining Industry’s Addiction to Leverage

Nation States (and other political jurisdictions)
Panama’s President Partially Vetoes Crypto Regulations

The Nightly Mint: Daily NFT Recap

Regulation, Legislation & Legal Matters

Circle launches euro-backed stablecoin EUROC

New Crypto Bill Suggests Unrealized Staking Gains Should Not Be Taxed

The Wall Street

Time Capsule
The BTC origin story: Who designed the Bitcoin logo?

Outside News

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“Bitcoin will eat the world.” And it is.

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The app that let’s you buy/sell/trade cryptos, earn yields on crypto deposits and take out a crypto-backed loans

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If you’re new to crypto, Coinbase is the easiest way to get started


Binance is a great exchange to buy and sell cryptos


Changelly is a good option for exchanging coins without having to use an exchange

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Earn bitcoin while you shop online using Lolli

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Get crypto-themed shirts, stickers, mugs and more at Teepublic


Download the Brave browser and block unwanted ads and earn rewards whileen you browse online 

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Download the Exodus wallet for you PC and smartphone


Download the Coinami wallet for your PC and smartphone

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