Nexo Proposes Celsius Buyout as Rival Halts Withdrawals

Cryptocurrency lending platform Nexo said it’s preparing an offer to buy certain assets from rival Celsius, in particular its collateralized loan portfolio.

• The announcement came in response to Celsius’ decision to freeze withdrawals and transfers, citing extreme market conditions.
• “We firmly believe that much can be done to help Celsius’ clients,” Nexo tweeted.
• “Nexo is in а solid liquidity and equity position to readily acquire any remaining qualifying assets of Celsius, mainly their collateralized loan portfolio. We are putting together an offer to Celsius to that accord and will communicate it publicly,” it said.

• Unlike Celsius, which reports platform inflows and outflows on a weekly basis, Nexo provides a real-time audit of custodial assets.
• This demonstrates how Nexo can meet its obligations by showing that company assets exceed its liabilities, Nexo said.
• The Nexo token price is down by 22% in the past 24 hours amid a market-wide sell-off. Celsius’ CEL token has lost more than 50% of its value following its announcement.
• Neither company had responded to requests for comment by publication time.