Home
News
- A crypto leader Celsius has hired restructuring attorneys amid the ongoing insolvency risk.
- Apparently, Celsius is exploring financing options from investors and other strategic alternatives such as financial restructuring.
- Last week, the US digital assets legislation was introduced that focuses on protecting investors.
Celsius, a crypto lender has hired restructuring attorneys amid the ongoing insolvency risk. It has hired the attorneys from Akin Gump Strauss Hauer and Feld LLP, the law firm, as reported by the Wall Street Journal recently.
Reportedly, Celsius is exploring financing options from investors and other strategic alternatives such as financial restructuring.
Its website highlights that Celsius, which facilitated yields on customer deposits, managed more than $11.8 Billion, in assets if we look at the data from May 17, 2022.
The US digital assets legislation, brought forward last week, focuses on protecting investors in situations where cryptocurrency exchanges go bust by making sure that their assets are held separately.
This move has been taken amidst the insolvency risks that are hovering around. A major digital assets lending platform, Celsius, recently halted its withdrawal because of its rumored liquidity crisis.
The lending platform cease all withdrawals on its platform, giving extreme market conditions after the value of its native CEL token plunged by 50% on Sunday.
Seemingly, the Bitcoin community is skeptical about the events at Celsius; some enthusiasts of the sector even predict that the Celsius lending network would collapse in the end, taking a few customers’ money with it.
The recent bearish trends in the crypto market have prompted a lot of crypto entities to look over their operations and work again as they are affected in some way or the other. And these entities are constantly making moves to deal with the situations. It is to look forward to how the crypto market would perform further.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
