Here’s How Celsius Bankruptcy Filing Will Benefit Goldman Sachs

CoingapeОпубликовано 2022-06-25Обновлено 2022-06-25

Введение

Investment bank Goldman Sachs is raising $2 billion to buy troubled crypto lender Celsius’ assets as it prepares for potential bankruptcy.

Investment bank Goldman Sachs is raising $2 billion to buy troubled crypto lender Celsius’ assets as it prepares for potential bankruptcy, according to Fortune. Goldman Sachs’ investors will be able to acquire Celsius’ assets at big discounts, even if Celsius does not declare bankruptcy. Meanwhile, Celsius has hired additional restructuring lawyers from the advisory firm Alvarez & Marsal.

Goldman Sachs Interested in Buying Celsius’ Assets At Discount

According to people familiar with the matter, Goldman Sachs sees interest and commitments from Web3 crypto funds, funds specializing investing in distressed assets, and traditional financial institutions, reported Fortune on June 25.

Moreover, Goldman Sachs has been expanding its footprint in the crypto market. For instance, Goldman Sachs is in talks with FTX crypto exchange to integrate leveraged derivatives trading. Currently, FTX is committing to bailout several crypto firms, such as BlockFi and Voyager Digital, as they face liquidation risks.

Meanwhile, crypto lender Celsius has hired advisory firm Alvarez & Marsal for a possible bankruptcy filing, reported the Wall Street Journal on June 25. In fact, Citigroup and Akin Gump Strauss Hauer & Feld hired by Celsius last week have recommended a bankruptcy filing.

Celsius plans to continue working with regulators and officials after it paused withdrawals, swaps, and transfers between accounts. Unfortunately, Celsius’ plans to resolve the liquidity problems seem to be failing, as bankruptcy remains the only option.

Celsius has liquidated its stETH holdings and withdrawn its ETH positions in Bancor’s liquidity pool. The recovery plan from the community has also failed. On Friday, short-sellers of the Celsius’ CEL token covered their positions by forcefully raising the price through mass purchases and withdrawing them from various exchanges.

Celsius Also Facing Lawsuits from Investors

Celsius is surrounded by numerous problems, including lawsuits from its investors after the firm paused withdrawals. In fact, Ben Armstrong, founder of BitBoyCrypto.com, had warned that a class-action lawsuit is under development against Celsius. Thus, bankruptcy may remain the only option for Celsius.

Похожее

Token Of Power Governance Exploit Drains $1.58 Million In WETH, TRM Says

Blockchain intelligence firm TRM Labs reports a governance exploit against the Token of Power protocol, resulting in a loss of approximately $1.58 million in WETH. The attacker exploited a missing timelock in the protocol's Aragon DAO setup, allowing them to propose, vote on, and execute a malicious action within a single block. The attacker funded the operation with 662 ETH from Tornado Cash, purchased enough TOP tokens to gain majority voting power, minted 10 billion new TOP tokens, and swapped them for WETH via a Balancer pool before moving funds back through Tornado Cash. The incident underscores that governance design is a critical security risk in DeFi, where parameters like timelocks provide essential reaction time. It also highlights how mixers and liquidity pools can be utilized in exploits without being directly compromised. Observers are now watching for any movement of the stolen funds and further remediation details from involved parties. This event is part of a broader shift in crypto, emphasizing the importance of underlying infrastructure, security, and governance alongside market movements.

bitcoinist9 мин. назад

Token Of Power Governance Exploit Drains $1.58 Million In WETH, TRM Says

bitcoinist9 мин. назад

XRP Ledger Daily Fees Drop Below $400 As Network Activity Question Returns

The XRP Ledger is drawing attention as daily network fees have fallen below $400. While low fees align with XRPL's design for affordable transactions and are often seen as a strength, the metric can also serve as an indicator of network demand and paid transaction volume. This data point of around $3,100 in weekly fee burn highlights the stark contrast with higher-fee chains like Ethereum and Bitcoin. The development fuels an ongoing debate. Proponents view low fees as a sign of efficiency and accessibility, while critics may question if the network is generating sufficient high-value activity relative to its market cap and payments-focused narrative. The article cautions against overstating the finding, noting a single low-fee day does not signify network failure. It instead adds context to discussions about XRPL's usage, especially alongside Ripple's broader initiatives in stablecoins (RLUSD), AI payments, and enterprise infrastructure. The report recommends monitoring for a fee rebound, checking transaction counts for a fuller picture, and confirming the trend via native explorers like Bithomp. It frames the story within a larger market shift where on-chain data, protocol updates, and infrastructure developments are becoming crucial alongside price action. The editorial stance is to present the verified data, explain its significance for assessing network activity, and avoid hype, positioning it as part of the daily crypto conversation.

bitcoinist2 ч. назад

XRP Ledger Daily Fees Drop Below $400 As Network Activity Question Returns

bitcoinist2 ч. назад

Ripple Launches XRPL AI Starter Kit For XRP And RLUSD Agent Payments

Ripple has released the XRPL AI Starter Kit, a Phase 1 developer toolkit aimed at enabling AI agents to make payments using XRP and its stablecoin RLUSD on the XRP Ledger. The kit supports the x402 payment standard and includes a server to connect AI systems like Claude directly to XRPL documentation. This move provides XRP with a new utility narrative focused on autonomous, machine-to-machine transactions, where agents could pay for APIs and services without manual approval for each micro-payment. For the XRP community, it represents a push into tangible payment infrastructure beyond speculation. The announcement is a concrete product update within a broader crypto shift towards valuing infrastructure and utility alongside price. The next steps involve monitoring developer adoption, documentation updates, and testnet activity. The story is based on Ripple's official blog.

bitcoinist4 ч. назад

Ripple Launches XRPL AI Starter Kit For XRP And RLUSD Agent Payments

bitcoinist4 ч. назад

Zcash Founder Says Anthropic AI Audit Found No Serious Protocol Bugs

Zcash founder Zooko Wilcox announced that an AI security audit of the Zcash protocol, conducted by Anthropic's Mythos model at the request of Shielded Labs, found no new serious bugs. This result provides a positive security headline for the privacy-focused cryptocurrency amidst ongoing regulatory and technical scrutiny. The audit highlights the growing use of AI-assisted tools in crypto security, though it is not a replacement for human review. The absence of major flaws supports confidence in the protocol's robustness, but developers emphasize that security hardening work continues. The story underscores a broader industry shift where infrastructure and security updates are becoming central to crypto market narratives.

bitcoinist7 ч. назад

Zcash Founder Says Anthropic AI Audit Found No Serious Protocol Bugs

bitcoinist7 ч. назад

Bitcoin To $400,000? Analyst Uses Gold Overlay To Make Bold 2026 Case

A social media analyst, Vivek Sen, has suggested Bitcoin could reach $400,000 in 2026 based on a chart overlay comparing its price structure to gold's historical breakout pattern. The claim, made via an X post, argues that if Bitcoin continues to mirror gold's past trajectory, a significant price surge is possible. However, the article notes this is a visual comparison and not a formal forecast or valuation model. The analysis highlights that Bitcoin and gold have different market characteristics, including size, liquidity, volatility, and investor bases. Bitcoin's price is also more influenced by factors like ETF flows, derivatives, and crypto-native leverage. For the $400,000 scenario to materialize, the article suggests sustained institutional inflows, supportive macro conditions, and a strong ongoing uptrend would be necessary. Ultimately, the report frames the $400,000 target as a speculative, bullish scenario rather than a base-case prediction. It concludes that while the gold overlay provides an interesting framework, its relevance depends on real-world market confirmation through price action and demand signals.

bitcoinist9 ч. назад

Bitcoin To $400,000? Analyst Uses Gold Overlay To Make Bold 2026 Case

bitcoinist9 ч. назад

Торговля

Спот

Фьючерсы