Crypto Lending Platform Celsius Fires 150 Workers
According to reports on July 3, 2022, cryptocurrency lending company Celsius dismissed approximately a quarter of its workers. It happened days after telling consumers that it is working hard to address its withdrawals and liquidity concerns.
Calcalist, an Israel-based media outlet, claims that Celsius is laying off a significant number of its employees, citing a message received earlier this week.
The newest announcement follows the company’s recent statement affirming its efforts to stabilise its finances and operations. Part of the statement reads:
“We are concentrating on stabilising liquidity and operations as rapidly as possible to share more information with the community.” As we collectively travel through this treacherous moment, we are functioning with the entire community and all of our clients in mind.”
The “crypto winter” of 2022 negatively impacts practically every element of the business, including key exchanges, loan platforms, and investors.
Compared to 2021, the present market slump has also made it difficult for crypto-related enterprises to secure multimillion-dollar collaborations with prominent brands. Last month, Sam Bankman-FTX Fried’s exchange backed out of a contract to decorate its name on the shirt of a Major League Baseball team, the Los Angeles Angels.
Celsius Getting Through the Storm
Surprisingly, several major financial organisations are positioned to capitalise on this drop. Earlier in June, crypto.news revealed that Goldman Sachs, a US-based investment banking behemoth, raised around $2 billion in the hopes of acquiring assets belonging to Celsius.
According to sources close to the situation, Goldman Sachs offers to buy the assets at a steep discount if the crypto lending platform declares bankruptcy.
Similarly, bitcoin derivatives exchange FTX pulled out of a plan to invest in Celsius. Instead, it paid $25 million for BlockFi’s assets.
A respectable group has offered a $20 million prize to any whistleblower who can establish that prominent players in the crypto world are working together to bring Celsius down.
In a 25-tweet thread, the organisation stated that if they could verify the conspiracies being planned in the crypto sector against Celsius. The whistleblower will never have to work again in their life.
The current crypto market massacre has been dubbed “the worst ever.” Since hitting about $70,000 in November 2021, the price of bitcoin (BTC) has dropped by more than 70%, causing a worldwide free fall in the price of altcoins.
According to Glassnode, this is the first time in history that bitcoin (BTC) and Ethereum (ETH) would trade below their all-time highs (ATH) set during past bull cycles. On June 18, 2022, the orange coin dropped to the $17,000 price range.
Diamond hands like Michael Saylor’s MicroStrategy, crypto lending firm Nexo, Binance, and a few others have remained strong during this period of uncertainty. The former recently added millions of dollars worth of bitcoin (BTC) to its holdings. Still, entities like Three Arrows Capital, Babel Finance, and CypherPunk Holdings have not been so fortunate.