Crypto company Celsius, which went bankrupt in 2022, recently announced its conversion plan for its remaining altcoins. The notorious company also plans to sell its clients’ altcoins as part of its restructuring strategy. Here is its million-dollar reserve and the destruction it can cause…
Celsius announces date to start selling altcoins
cryptocoin.comAs we reported, Celsius announced on June 15 that it will convert its altcoins into BTC and ETH as part of the ‘restructuring’.
Celsius will be selling all altcoins from all customers (except Custody and Withhold accounts) starting July 1st and will be converting them into Bitcoin and Ethereum.
— Celsians (@CelsiansNetwork) June 15, 2023
According to the latest reports, the altcoin will start its sales from July 1, 2023. The bankrupt crypto company will convert all of its customers’ reserves, including altcoins, to Bitcoin (BTC) and Ethereum (ETH). This decision arouses curiosity among investors about the altcoins on the list. The latest reports show that the company has downstream cryptocurrencies:
- Cardano (ADA): 103,065 units, total value $26,227,569
- Celsius (CEL): 660,348 units, total value $70,516,582
- Chainlink (LINK): 3,337,000 units, total value $17,285,660
- Polygon (MATIC): 91,630 units, total value $51,828,860
- Litecoin (LTC): 197,000 units, total value of $14,398,730
- Bitcoin Cash (BCH): 53,000 units, total value of $5,461,650
- Binance Coin (BNB): 19,000 units, total value of $4,411,040
- Solana (SOL): 145,000 units, total value $2,064,800
- Uniswap (UNI): 864,000 units, total value $3,672,000
- Aave (AAVE): 106,000 units, total value $5,254,420
- Stellar (XLM): 47,851,000 units, total value $3,611,793
- EOS: 3,119,000 units, total value of $1,953,944
- Polkadot (DOT): 1,832,000 units, total value $7,859,280
Celsius’ sale on July 1 will have a direct impact on the market
A look at the list above shows that most of the top 10 altcoins also have over $10 million in assets each. According to a court report, Celsius Network currently holds about $215 million worth of altcoins. These will potentially be abandoned from 1 July.
Funds from the sale of these altcoins will be converted specifically to Bitcoin (BTC) and Ethereum (ETH). However, Celsius Network aims to optimize its portfolio and strengthen its market position in these challenging times.
Meanwhile, Celsius’ decision caught the attention of industry professionals. In particular, David Adler, a Bankruptcy Partner at McCarter & English, expressed concern over the handling of retail loan claims under the proposed scheme. Additionally, increasing selling pressure on CEL, MATIC, and ADA, along with other altcoins held by Celsius Network, added to market uncertainty. The results of the sales will not only affect the prices of certain altcoins. It also has the power to influence investor sentiment and confidence in the broader cryptocurrency market.
