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.
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