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They are raising money for liquidation, they will pay back users a fraction of what they originally deposited, and then play with some rows on an excel spreadsheet and walk with millions. Celsius can't go back live because the bank run would destroy the entire thing just like with Terra.

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Note that Terra/Luna was an algorithmic stablecoins, while the Celsius situation is kinda-sorta more like a proper bank run. Rumors of losses from exposure to 3 arrow capital causing a stampede of users forcing Celsius to shut down. There is a Celsius coin that kinda is like terra but really is quite different.

They seem to have completely different mechanics, aside from failing within a month of each other there is almost no other mechanical similarity between these situations.

Another similarity is that both are too complicated to explain.

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