You have explained this post in a very hood manner and I like the way you present the ideas here.

Bankruptcy is actually a state in the daily life when the borrowed funds are enough that could be returned by the individual or the company. So, their account becomes seized and funds are freezed.

It would be very sad for most users who have large amounts of cryptocurrencies to hear that after a bankruptcy, the cryptocurrency is no longer theirs.

Yes you are right friend, actually the centralized exchanges use the assets of the users for their benefits and during the bankruptcy, all of those assets are completely seized.

Yes, this scenery really affect most of the crypto investors as they always though deeply while investing in such kind of risky and non-predictable market.

Thanks a lot for sharing with us. Good luck.