The Celsius Network and Three Arrow Capital debacle perfectly demonstrated that the crypto market has a fundamental regulatory issue. In March 2022, the UK FCA warned that it could not efficiently regulate the crypto giant Binance Group, which operates a wide variety of legal entities in different jurisdictions. The same is arguably true for the Blockchain.com Group. The company claims to have 37 million verified users with $1T+ transactions, which accounts for one-third of all Bitcoin. Largely without supervision because the company is not licensed but just registered.
Currently, the entire crypto scene is in a state of emergency. After the collapse of the Terra Luna scheme, crypto hedge fund Three Arrows Capital and crypto lender Celsius Network, many crypto companies are struggling to survive because they lost a lot of money. Even the major providers are not exempt from this. A kind of domino effect has set in and no one currently knows the true extent of this liquidity crisis. Some crypto companies have frozen withdrawals. Blockchain.com is likely to be among them.