Uncertainty surrounding the situation of Celsius Network, Three Arrows Capital and others

The unrest continues to spread in the middle of a bear market with new developments around Celsiusthe introduction of new restrictions by another crypto-lending company and more movements of funds for Three arrows capital (3AC).

Source: Adobe / Artusius

The temperature rises for Celsius

Celsius, which operates the namesake token and eponymous blockchain networks, appears to have been able to repay much of its debt to the protocol. Maker (MKR).

Statistics from the DeFi Explorer platform show that a box presumed to belong to to Celsius made its most recent DAI repayments on July 1, followed by another on July 3 and two more on July 4, for a total of $ 142.8 million. A number of repayments were also made in mid-June.

The vault uses “wrapped Bitcoin” (WBTC) as collateral, which means that it will be automatically liquidated if BTC falls below a safe level. Last month, that liquidation price dropped to around $ 17,000 – with BTC hovering around the $ 20,000 mark.

The amount that Celsius owes Maker would amount to approx. $ 82 million to Maker. Meanwhile, Celsius is said to have recently cut its workforce by a quarter. However, these payouts seem to indicate that the company is still liquid, as many people fear that it may join the growing array of failing crypto companies.

Celsius has previously said it “worked as fast” as possible to “stabilize cash and operations” – though fears of insolvency continue.

Questions about 3AC

As previously reported, the struggling crypto hedge fund 3AC has been forced into liquidation by a court in the British Virgin Islands and is also seeking protection against creditors in the US under the Bankruptcy Code (which allows debtors aliens to protect assets based in America). But there are still activity indicators from Three Arrows Capital – which now appear to be moving tokens.

Twitter account Peck Shield Alert provided evidence of two major stablecoin transfers to the platform KuCoin “within the last 24 hours”.

Incredible observers wondered how it was possible that 3AC “was still able to perform these operations” while Luu lovco-founder and president of Cyber ​​networkhave mente :

“(…) I thought that by this time the liquidator appointed by the court had already intervened.”

Introducing Borders at CoinLoan

Elsewhere is the crypto-lending platform Coin loansbased in Estonia, has reduced its 24-hour withdrawal limit to $ 5,000 – down from $ 500,000.

The company wrote in a statement that it was not in difficulty, but that “like any business, we must take into account market conditions.” She added that it was a “temporary change” but one that has already been adopted.

CoinLoan claimed that this “measure” would allow it to “ensure the stability of the platform’s operations now and in the future”.

The company added that suspending all withdrawals “as some other companies have done” would have been “more convenient” from a business perspective, but added:

“We understand that some of you may be saving your lifetime savings on CoinLoan, so we can not just deactivate payouts. So we are just lowering the limit so you can raise some of your assets if necessary.”

Follow our affiliate links:

  • Buying cryptocurrencies in the SEPA zone, Europe and French nationalsvisit Coinhouse
  • Buying cryptocurrency in Canadavisit Bitbuy
  • To generate interest with your bitcoinsgo to the BlockFi website
  • To secure or store your cryptocurrenciesget Ledger or Trezor wallets
  • To trade your cryptocurrencies anonymouslyinstall the NordVPN app

To invest in cryptocurrency mining or masternodes:

To collect coins while playing:

  • In poker on the CoinPoker gaming platform
  • To a global fantasy football on the Sorare platform

Stay informed with our free weekly newsletter and to our social network:

Leave a Comment