您现在的位置是:Crypto lenders bear the brunt of the slump in the crypto market >>正文
Crypto lenders bear the brunt of the slump in the crypto market
上海品茶网 - 夜上海最新论坛社区 - 上海千花论坛5人已围观
简介Wall Street Journal reported yesterday that the network is seeking to restructure to survive the fin...
- Wall Street Journal reported yesterday that the network is seeking to restructure to survive the financial crisis it is caught in
- At the start of this week, Celsius announced that it was temporarily halting withdrawal services on its platform
Crypto lender, Celsius, has sought the services of ‘restructuring’ attorneys from the international law firm Akin Gump Strauss Hauer and Feld, WSJ reported on Tuesday. The lending firm is exploring the restructuring avenue amid alleged liquidity issues, with the lawyers from the largest US lobbying firm being called to offer assistance.
The lawyers will reportedly advise on the financial restructuring path and offer consultation services. However, it is not concluded that this is the firm’s path. Citing unnamed sources in the know, the report detailed that the network is exploring other possible avenues to remain afloat.
A Wednesday report by The Block also stated that Celsius had also turned to banking institution Citigroup for advisory support. The bank is not expected to lend financial support, per sources familiar with the matter.
The events come fours day after the crypto lender shared a memo to its users on Sunday, stating that it was “pausing all withdrawals, Swap, and transfers between accounts”for an unspecified period.
The network chalked the decision to halt services up to harsh market conditions. On Monday, rival crypto lender Nexo made an offer to bail out Celsius but nothing came of it, with Nexo stating that it was going back to the drawing board to come up with another proposal.
Crypto lending firms suffer amid a weakening market
Celsius isn’t the only lender facing issues at the moment. Peter Thiel-backed crypto start-up BlockFi announced Monday that it is slashing 20% of its staff amid a heavy market downturn. The financial services firm had a reported workforce of over 850 heads – a figure that will decrease drastically following the cut.
CEO Zac Prince clarified that the company’s financial position had been dented, citing similar reasons as Celsius. In the last five years since BlockFi was founded, it has raised just short of $1 billion, including $350 million last March. Earlier this month, a report citing people in the know noted that the crypto lending start-up was looking to raise a down round at a $1 billion as conditions in the market worsen.
Yesterday, BlockFi was also fined a sum totaling $943,396.22 by the Iowa Insurance Commission for illegally offering retailers unlicensed interest-bearing accounts. The firm, which is also backed by Mike Novogratz, settled the matter without denying or accepting the charges.
Notably, this is not the first time the lender has had trouble with regulators, having received several cease-and-desist notices in the past. The firm, earlier this year, paid a $50 million fine to different state watchdogs and an equivalent sum directly to the US SEC.
Tags:
转载:欢迎各位朋友分享到网络,但转载请说明文章出处“上海品茶网 - 夜上海最新论坛社区 - 上海千花论坛”。http://www.jz08.com.cn/news/2867.html
相关文章
Polkadot Hacker House set for New York City from 23
Crypto lenders bear the brunt of the slump in the crypto marketThe Polkadot Hacker House event will take place at the Industrial City in Brooklyn, New York.The Pol...
阅读更多
Meta Apes is live on BNB Application Sidechain.
Crypto lenders bear the brunt of the slump in the crypto marketMeta Apes is a free-to-play and play-to-earn massively multiplayer online mobile-first game that is...
阅读更多
Dogecoin price shoots up following Elon Musk's tweet
Crypto lenders bear the brunt of the slump in the crypto marketDogecoin (DOGE) has surged to a high of $0.06247 today following a tweet by Elon Musk. At the time o...
阅读更多
热门文章
- Blockchain Technology To Be Used To Govern China’s Aerospace City
- Compound Price is in Recovery Mode. Is it a Buy?
- New Zealand Central Bank Interested in CBDCs
- Bitcoin outshines gold as it decouples from stocks: GlobalBlock analyst
- Brazil Considers Using Blockchain Platform For COVID Testing
- Market highlights February 15: Top Ten cryptos rise after the Super Bowl
最新文章
Maverick Protocol acquires $8M from the latest strategic funding round
Meme Moguls price outlook as Cardano and XRP eye bounce
Onchain metrics show that DogeCoin has a possible 50% upswing
Blockdaemon announces integration with LayerZero
Selfkey is rallying after Binance listing: here’s where
SundaeSwap’s (SUNDAE) to list on Bitrue starting next month