Like all freeze tolerant species, they only freeze in their extracellular fluids. Intracellular freezing kills cells. Also, the ice that forms tends to be pure. This increases the solute concentration of the extracellular fluids which creates an osmotic drag that pulls water out of cells. As cells lose water, this effectively increases the intracellular solute concentration, which lowers the freezing point of the cells (a colligative property).