Cryptocurrency staking and lending platform Seth has dealt with the rumored liquidity crisis by unstaking $ 247 million worth of wrapped Bitcoin from Aave and sending it to the FTX exchange. There may be.
Speculation among the crypto community is rising as the project moves in addition to the large amount of WBTC, ETH, and other crypto assets. pause User drawer.
Celsius users have criticized the platform for their belief that the project mismanaged funds after the collapse of the currently named Terra Classic blockchain anchor protocol. This project may address these concerns about recent moves to stabilize liquidity.
Some think that if Celsius fails, it sells a significant stack of bet ETH (stETH), which will further depeg it from ETH. stETH is a token provided by the Lido DeFi Lending Platform and is provided as proof that the user has bet on ETH. Currently, the transaction is about 4.4% lower than ETH.
The anomalous token move was around 18:00 ET on June 12th from Celsius’ main DeFi wallet when Celsius began removing WBTC from Aave’s staking and lending platform that he was using to earn interest on deposits. It started in.
Celsius withdrew 50,000 Ether and 7,000 WBTC collateral from the Aave position in the core DeFi wallet 0x8ace. 6,000 WBTC and 20,000 Ether (so far) #FTX.. ..
— Dirty Bubble Media: ⏰ (@MikeBurgersburg) June 13, 2022
So far, about $ 247 million worth of 9,500 WBTC tokens have been redeemed from Aave. After a series of transactions, all of these tokens were sent to the FTX exchange for unknown reasons.
In addition to WBTC, it seems that about $ 74.5 million worth of 54,749 ETH has been sent to FTX.
Such activity is a very bad sign for Celsius’ transparency until it explains the move, but the company has liquidated by replacing much of its volatile funds, such as WBTC and ETH, withdrawing from Aave with stablecoin. You may be trying to stabilize your sex.
Since June 12, Celsius has bet US $ 204 million on Stablecoin on Aave. We also deposited approximately 8.2 million DAI stablecoins in addition to US $ 10 million to another DeFi staking and lending platform, Compound.
A total of 222 million stablecoins re-bet by Celsius is about the same as the value of the WBTC token it deleted, but still does not match the total value of WBTC and ETH.
The plans for the Celsius team to use the moved crypto are not yet clear. The possibility of selling the assets sent to FTX is real, but another possible option is to bet the tokens sent to the exchange and earn a yield.
At the time of writing, Stablecoin was 9,500 WBTC, 54,749 ETH, 375,343 FTT, worth $ 10 million, 2,455 MATIC ($ 1,158), 260,000 UNI ($ 1 million), $ 2 million Pax dollars (USDP), and $ 300,000 TrueUSD (TUSD). I sent a table coin. To FTX. However, the token transfer was still done by 23:00 ET.
..@CelsiusNetwork Suspended all withdrawals, exchanges, and transfers between accounts. Acting for the benefit of our community is our number one priority. Our business continues and we continue to share information with the community. Click here for details: https: //t.co/CvjORUICs2
— Celsius (@CelsiusNetwork) June 13, 2022
Celsius users are now anxious as the platform suspends withdrawal to “put Celsius in a better position to respect its long-term withdrawal obligations,” according to a project announcement on June 13. It may be.
“We are committed to a single focus on protecting and protecting our assets to meet our obligations to our customers.”
Cointelegraph reported in May that Celsius CEO Alex Mashinsky diverted responsibility for issues facing the platform, such as bankruptcy rumors, to Wall Street’s gloomy opportunists.
Related: Bitcoin prices have fallen to their lowest since May as the Ethereum market is trading with a loss of 18.4%
Cryptographic investors are hardly impressed with the new round of FUD from Celsius. Cryptocurrency market capitalization has fallen 7.6% to $ 1.07 trillion in the last 24 hours. Celsius’ own token, CEL, has fallen by more than 60% to $ 0.15 in the last 12 hours. All prices listed in the article are from the price tracker Coin Gecko.