Part of the CustodyStress archive of observed Bitcoin custody incidents
CS-01022
Platform bankruptcy — Celsius (2022)
ConstrainedCase description
Following the Celsius bankruptcy filing, customers who held assets in Celsius's Custody accounts—a separate product marketed as segregated, non-yielding storage—were initially told their funds were also frozen. After months of legal proceedings, Custody account holders eventually began receiving partial withdrawals. The distinction between Earn and Custody proved legally critical: Earn depositors were treated as unsecured creditors while Custody holders had a stronger claim.
Custody context
| Stress condition | Vendor lockout |
| Custody system | Exchange custody |
| Outcome | Constrained |
| Documentation | Unknown |
| Year observed | 2022 |
| Country | United States |
Structural dependencies observed
What this illustrates
Getting access back required help from an institution — and that help wasn't available. Whether full access was ultimately possible is unclear, but significant delay or outside intervention was involved.
Outcome interpretation
Access remained possible, but only with delay, dependence, or significant difficulty.
Source
Publicly Reported
Evidence type
News article
Related cases involving vendor lockout
This archive documents observed custody survivability failures. It does not attempt to document all Bitcoin losses or security incidents.
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Framework references
Where Bitcoin Custody Intersects Legal and Fiduciary Authority
Where custody creates gaps in estate planning, fiduciary duty, and professional responsibility.
Professional Scope Boundary Matrix
What each professional or product covers, what they do not, and where gaps form between them.
The Independent Assessment Layer in Bitcoin Custody
How independent diagnostic layers emerge when multiple parties depend on shared infrastructure.
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