Goldman Sachs is Raising $2 Billion to Buy Celsius’ Assets
Goldman Sachs Assets
Modified Date:- Published Date:-Categories: Cryptocurrency
Goldman Sachs is Raising $2 Billion to Buy Celsius’ Assets
Investment giant Goldman Sachs is said to be raising US$2 billion in an effort to buy assets of crisis-ridden crypto lending firm Celsius, amid the current turmoil beset the cryptocurrency industry. The bank is looking into the commitments of traditional financial institutions with Web3 crypto funds specializing in distressed assets and cash in hand.
The assets to be acquired, most likely cryptocurrencies to be sold for less, will then likely be managed by fundraising participants. There is also concern that if the value of stake ETH does not achieve parity with ETH, Celsius may be left unable to pay users wishing to withdraw their funds.
Stacked ETH, which is widely used by Celsius, began to lose parity with ETH when the DeFi markets were sent into a spiral following the collapse of the Terra ecosystem. Since then, Celsius has hired the restructuring consulting firm Alvarez & Marsal. The company has also contacted restructuring lawyers at law firm Akin Gump Strauss Hauer & Feld.
Additionally, global investment bank Citigroup has been employed by Celsius to advise on potential solutions, including evaluating a proposal from rival crypto lender Nexo. Citigroup and Akin Gump have both recommended the Celsius file for bankruptcy.
Goldman has always been recognized as one of the most influential financial Institutions in the corporate world. Their new investment in Celsius ICO, who is Valued at $2 billion can be considered big step in the crypto economy by Institutional Players.