Babel Finance
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anchored·6263oL…wCdZSummary
Babel Finance was a Hong Kong-based crypto lending and asset management firm that raised $80 million at a $2 billion valuation in May 2022, only to suspend all withdrawals the following month citing 'unusual liquidity pressures.' Internal restructuring documents later revealed that co-founder Wang Li had directed the firm's proprietary trading desk using customer funds with no risk controls, resulting in losses ultimately totaling $766 million and triggering insolvency proceedings in Singapore.
Connected Entities
6 entities · 60 linked investigations- Zipmex→mentioned with→Bitcoin(60%)
- Deribit→mentioned with→Bitcoin(65%)
- Zipmex→mentioned with→Celsius Network(85%)
- Celsius Network→mentioned with→Bitcoin(70%)
- Three Arrows Capital→mentioned with→Celsius Network(80%)
- Babel Finance→mentioned with→Three Arrows Capital(80%)
- Celsius Network→mentioned with→Three Arrows Capital(80%)
- Zipmex→mentioned with→Babel Finance(80%)
- Zipmex→mentioned with→Three Arrows Capital(80%)
- Deribit→mentioned with→Three Arrows Capital(80%)
- + 4 more
Connected Through
6 shared actors · 503 investigationsDistinct actors this investigation shares with others — holders, traders, and named parties. Shared infrastructure (exchanges, pools) is excluded.
- ♦Bitcointoken
- □Three Arrows Capitalorganization
- □Celsius Networkorganization
- □Deribitorganization
Timeline(13 events)
25 May 2022
Babel Finance announces completion of $80 million Series B funding round at a $2 billion valuation, achieving unicorn status. Investors include Jeneration Capital, 10T Holdings, Dragonfly Capital, BAI Capital, and Circle Ventures.
CoinDesk17 June 2022
Babel Finance suspends all product redemptions and withdrawals, informing partners the company is insolvent and citing 'unusual liquidity pressures.'
CoinDesk30 June 2022
Bitcoin falls from approximately $30,000 to $20,000 during June 2022, triggering forced liquidations of Babel's unhedged proprietary trading positions. Approximately 8,000 BTC and 56,000 ETH are lost.
The BlockJuly 2022
Babel Finance reported to be engaging restructuring specialist Houlihan Lokey as financial adviser.
CoinDesk20 July 2022
Zipmex halts withdrawals on its own platform after disclosing $48 million exposure to Babel Finance and $5 million exposure to Celsius Network.
CoinDesk29 July 2022
Babel Finance's restructuring proposal deck, dated July 2022, is reported on by Bloomberg and The Block, revealing that the firm lost over $280 million (approximately 8,000 BTC and 56,000 ETH) through proprietary trading of customer funds with no risk controls.
Bloomberg31 July 2022
Zipmex files for creditor protection in Singapore following the Babel Finance default.
The Jakarta PostDecember 2022
Co-founder Wang Li removed from Babel Finance leadership. Company states that risky trading activities appear to have been instructed solely by Wang Li.
Fintech Singapore5 March 2023
Bloomberg reports Babel Finance is proposing a 'Recovery Coin' DeFi mechanism as the centerpiece of its restructuring plan to address $766 million in total creditor losses.
Bloomberg6 March 2023
Babel Finance files a moratorium application in the General Division of the High Court of Singapore under Section 64 of the Insolvency, Restructuring and Dissolution Act.
PR Newswire (official filing announcement)19 April 2023
Singapore court extends Babel Finance's creditor protection and the firm begins formal in-court restructuring proceedings.
Blockhead21 July 2023
Babel Finance's Singapore creditor protection period extended to July 21, 2023, as the firm continues restructuring negotiations.
Fintech SingaporeDecision Log
- slot 423161172 · hash Bdjd29nUGA7vCU2T5xUUhwTECEGsoiWbeyURfnMhZ3uw
This investigation is cryptographically anchored to the Solana blockchain (1 decision). 20 of 21 cited source URLs have an Internet Archive snapshot.
model: claude-sonnet-4-5
generated: 5/30/2026, 12:59:46 PM
last updated: 8/29/2026, 1:32:52 AM
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