Celsius Migration: $ 320M Encrypted Sent to FTX, User Audits Suspended

Celsius Migration: $ 320M Encrypted Sent to FTX, User Audits Suspended – Mail Bonus

Celsius’s crypto betting and lending platform could be dealing with its rumored liquidity crisis by releasing $ 247 million of Wrapped Bitcoin from Aave and sending it to the thFTX exchange.

Speculation among the cryptocurrency community is now flaring up as the project has been transferring huge amounts of WBTC, ETH and other cryptocurrencies in addition to pause audits for users.

Celsius users have criticized the forum for believing that the project mismanaged its funds following the collapse of the now-defunct Terra Classic blockchain. The task could be to address these concerns with recent measures to stabilize liquidity.

Some people think that if Celsius fails, it would sell its significant stack of ETH (stETH), which would cause it to become further detached from ETH. stETH is a symbol from the Lido DeFi lending platform that is given as proof that a user has gambled ETH. It is now 4.4% lower than ETH.

Unusual symbol movements began at 18:00 ET on June 12 from Celsius’s main DeFi wallet as it began removing WBTC from the Aave mortgage and lending platform, which Celsius used to earn interest on its deposits.

To date, 9,500 WBTC tokens worth about $ 247 million have been redeemed from Aave. After a series of trades, all of these tokens have been sent to the FTX exchange for an unknown reason.

In addition to WBTC, 54,749 ETHs worth $ 74.5 million appear to have been sent to FTX.

While such activities do not bode well for Celsius’ transparency until it explains the movements, the company could be trying to ensure that its liquidity is stable by replacing many of the volatile funds such as WBTC and ETH that it reduced Aave for stablecoins.

Since June 12, Celsius has gambled 204 million USDC stablecoins on Aave. It has also contributed 10 million USDC and about 8.2 million DAI stablecoins to Compound, another DeFi mortgage and lending platform.

The total 222 million stablecoins that Celsius has put back on is almost equal to the value of the WBTC tokens it removed, but still does not come close to matching the combined value of WBTC and ETH.

Celsius’s plans with the cryptocurrencies that have been transferred are not yet clear. There is a real possibility that it could sell the assets it sent to FTX, but another likely option is to bet the tokens they are sending to the stock exchange to earn a return.

At the time of writing, Celsius has sent $ 9,500 WBTC, 54,749 ETH, 375,343 FTTs worth $ 10 million, 2,455 MATICs ($ 1,158), 260,000 UNI ($ 1 million), 2 million Pax Dollars (USDP) and 2,000,000 TrueUSD coins (USDP000300). stcoin. to FTX. However, symbol movements were still taking place around 23:00 ET.

Currently, Celsius users could bite their nails in anxiety because the platform paused audits to “put Celsius in a better position to honor, over time, its withdrawal commitments,” according to a June 13 project announcement.

“We are working with a unique focus: to protect and preserve assets to meet our customer obligations.”

The Cointelegraph reported in May that Celsius CEO Alex Mashinsky had blamed the platform’s problems, including bankruptcy rumors, for shady Wall Street opportunists.

Connected: Bitcoin prices fall to their lowest level since May, with the Ethereum market trading at a 18.4% loss

Crypto investors are largely unimpressed by the new FUD round coming from Celsius. The total market value of cryptocurrency has decreased by 7.6% to 1.07 trillion US dollars in the last 24 hours. CEL, Celsius’ own symbol, has fallen by more than 60% in the last 12 hours to $ 0.15. All prices listed in the article came from the CoinGecko price array.