Some Celsius customers have reportedly been able to withdraw funds from a bankrupt crypto company for the first time, approximately 263 days after the freeze on withdrawals in the lead-up to the bankruptcy filing.
According to numerous social media posts, as of March 2, certain customers holding funds in Celsius’ Custody accounts have been overjoyed as they have finally been able to withdraw funds from the lender.
Glad to be one of the few to get the money back in almost one piece. Hopefully everyone else will receive theirs in due time
— richieroyce.eth (@Richie_Royce) March 2, 2023
Customers report they received an email a few weeks ago a list of people who were eligible to withdraw funds, before receiving another on March 2. noted that the withdrawal can be processed.
While some users who registered a white wallet before trying to withdraw received their funds within minutes, others showed significant delays.
A backlog of withdrawal attempts seems to have built up, but some demand that withdrawal requests be turned into support tickets that can be processed in a few days, due to “too many requests and not enough staff.”
On January 31st, Celsius published details of who was eligible to withdraw, with customers who only previously held funds in a custody account now able to withdraw up to 94% of their original funds.
Prisoner accounts are only available to United States residents. These withdrawals are limited to those customers until the disappointment of customers with funds in other accounts offered by Celsius.
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Custodial account holders can still get another 6% back, pending a future court hearing.
Customers who have transferred funds from the earning or borrowing program to a custodial account can apparently withdraw 72.5% of the funds at this time, up to a maximum of $7,575.
The lender first announced it would freeze withdrawals on June 13, 2022, citing “extreme market conditions,” before filing for bankruptcy on July 13.