Great Administration Or Complete Miracle? Celsius No Longer At Risk of Bitcoin Liquidation, Pays off Debt

Great Administration Or Complete Miracle? Celsius No Longer At Risk of Bitcoin Liquidation, Pays off Debt

Celsius CEL/USD has repaid its debt via DeFi protocol Maker MKR/USD, reducing its liquidation price to $0.00.

What Happened: Last month during latest cryptocurrency crash, crypto lending firm Celsius was in a severe liquidity crisis and paused withdrawals of investor funds. The crypto lender also had large-scale debts to pay back.

In the past week, Celsius has repaid $183 million to decentralized lending platform Maker. Celsius clearing this collateralized debt would allow it to get back the Bitcoin BTC/USD equivalent tokens that were formerly collateralized.

As revealed by on-chain data, Celsius repaid this debt in the protocol’s domestic stablecoin DAI DAI/USD. Furthermore, on July 7, Celsius repaid $41.23 million that was remaining of its loan, allowing them to reclaim 21,962 Wrapped Bitcoin WBTC/USD, worth around $440 million, that was initially posted as collateral.

Celsius’s latest move brings them closer to regaining investor trust and confidence, as uncertain market conditions prevail.

Posted In: DeFiliquidityCryptocurrencyNewsMarkets

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