According to the independent examiner appointed in Celsius Network LLC’s chapter 11 case, the company failed to establish proper accounting and operational controls. Celsius had not developed a separate infrastructure for the custody programme, which it began offering in April, according to the examiner. To address frequent shortfalls, Celsius had to transfer funds from the rest of its holdings into the custody accounts. According to the Wall Street Journal, Celsius continued to mix deposits in so-called withhold accounts, the second type of account it established in response to regulatory pressure, with the remainder of its funds. As a result, Celsius customers are now uncertain about which assets they own as of the bankruptcy filing date.