Troubled crypto firm Celsius (CEL) is now calling itself a shadow bank, saying 80 per cent of its customers had signed away the rights to their crypto assets in favour of Celsius, under its terms and conditions.
“Celsius is not an asset manager, it’s a shadow bank. And deposits in banks aren’t even ‘customer assets,’ let alone assets under management. Celsius’s terms of use make it completely clear that customers who deposit funds in Celsius’s interest-bearing accounts are lending their funds to Celsius to do with as it pleases. And it specifically says that in the event of bankruptcy, customers might not get all – or indeed any – of their money back,” Celsius’s legal team argued in court, reported Cryptopotato.
Not only this, Celsius would rather place its image as a Bitcoin (BTC) mining company than a decentralised finance (DeFi) crypto company. Celsius’s lawyers argued that BTC mining holds an important place in their restructuring plans. Thus, Celsius received approval from Judge Martin Glenn of the US Bankruptcy court to spend $3.7 billion in a new BTC mining construction gig and $1.5 million on customs and duties on imported mining rigs.
Patrick Nash, the lawyer representing Celsius, told Reuters, "In a world where the crypto market is rebounding, the mining business has the potential to be quite valuable."
The global crypto market capitalisation went up by 3.6 per cent to $1.1 trillion as of 8.50 am. The global crypto volume was $132 billion, as per Coingecko data.
Bitcoin (BTC), the world’s oldest cryptocurrency, was trading at $23,323.41, higher by 5.26 per cent in the last 24 hours. Ethereum (ETH) was up by 1.07 per cent to $1,546.39.
“The market leader soared through $23,000 and is currently trading around $23,300 with nearly a 6% gain in the last 24 hours. However, Ether has rebound by 50 per cent in the past week with updates about the Merge. This positive momentum is a great sight for investors,” says Gaurav Dahake, CEO and founder, Bitbns.
Among other significant coins, Cardano (ADA) was up by 8.58 per cent at $0.5236; Algorand (ALGO) was trading with a gain of 5.09 per cent at $0.3722, Solana (SOL) was trading with a gain of 3.65 per cent at $45.08, Polkadot (DOT) was up by 1.24 per cent at $7.84, and Binance Coin (BNB) rose 2.23 per cent at $266.46.
Today’s top gainer was Flow (FLOW), which was up by 21.48 per cent at $2.06. The top loser was Ethereum Classic (ETC), which was down by 5.41 per cent at $24.51.
Dogecoin (DOGE) was up by 3.62 per cent at $0.06916. Its volume to market cap ratio stands at 0.05499. Rival Shiba Inu (SHIB) was up by 4.59 per cent at $0.00001229.
Dogelon Mars (ELON) rose 5.55 per cent to trade at $0.0000003575, Floki Inu (FLOKI) rose 24.32 per cent at $0.000008771, and Samoyed Coin (SAMO) rose 0.67 per cent at $0.01113.
In the DeFi segment, YFI (yearn.finance) was up by 5 per cent at $6,753.25, and Terra Classic (LUNC) was trading with a gain of 0.72 per cent at $0.0001067. Avalanche (AVAX) was up by 4.72 per cent at $25.05, Aave (AAVE) rose 1.42 per cent at $95.84, and Uniswap (UNI) was trading with a loss of 1.08 per cent at $7.38.
