Die Insolvenzverwalter von 3AC erwarten eine Reihe von Klagen und versuchen, sich einen Überblick über die finanzielle Situation des Unternehmens zu verschaffen.
Celsius gets approval for a new Bitcoin mining plant as it seeks financial stability
Celsius, a renowned crypto lender, has obtained crucial approval to go ahead with its plan of building a Bitcoin mining plant as it tries to find ways of returning it back to financial stability.
The value of Celsius assets decreased from $22.1 billion to $4.3 billion between March 30 and July 14, this year, with approx. $1 billion in third-party liquidations.
Celsius was brought down by the collapse of Terra LUNA and it has since been struggling to remain afloat something that forced it to file for Chapter 11 Bankruptcy in the US to as it tried to restructure. Prior to filing for Chapter 11, Celsius had tried a number of measures including ETH tokens from Bancor to settle its DAI loan with Aave so that it could free the WBTC it had provided as collateral. Celsius had borrowed 100 million DAI tokens on Aave forcing Marker DAI to disable DAI supply to Aave to avoid more exposure to Celsius.
The plan to build a Bitcoin mining facility is part of Celsius’ plans of stabilizing the company following its current financial crisis.
However, Celsius was recently sued for supposedly using customer deposits to rig the price of CEL tokens while failing to properly hedge risks. Therefore, the new venture of building a BTC mining plant will be widely watched seeing that Celsius is yet to resume withdrawals.
Investing $3.7M for the new Bitcoin mining plant
Celsius intends to invest a whopping $3.7 million in constructing the new Bitcoin mining facility and an extra $1.5 million in importing mining equipment and paying for customs.
Celsius already has a mining plant in the US that presently operates over 43,000 mining rigs. By adding a new mining facility, Celsius intends to increase the number of mining rigs that it shall be operating to 112,000 by the second quarter of 2023.
The increased mining operations will in return increase the number of bitcoins that Celsius will have something the company believes will be a source of finances.
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Dubai regulator licenses OKX to extend certain products and services in the UAE
OKX, a Seychelles-based crypto exchange, is the latest digital asset service provider to get a provisional license to operate in the United Arab Emirates (UAE).
The provisional license issued by the recently formed Virtual Assets Regulatory Authority (VARA), which is the digital assets regulator in Dubai, allows OKX to provide certain crypto exchange products and services to a select group of investors and financial service providers.
According to a statement released by OKX after getting the provisional license, OKX stated that the license ““allows it to extend certain exchange products and services to pre-qualified investors and financial service providers.”
The general manager at OKX for Dubai, Lennix Lai, while commenting on the development said:
“The MENA region is one of the fastest-growing markets for our industry, and we are very excited to be at the heart of this thriving ecosystem. OKX looks forward to contributing meaningfully to the free exchange of ideas that is going to be so important to the development of this space while innovating for the future in a regulated framework.”
Dubai slowly becoming a top crypto destination
Since it was established at the beginning of this year, the Virtual Assets Regulatory Authority (VARA) has issued provisional licenses and approvals to several cryptocurrency exchanges. Besides OKX, the other exchanges that have received provisional licenses and approvals include Binance and Coinmena.
The rush by crypto exchanges and other crypto service providers to set up base in Dubai is proving that UAE and specifically Dubai is one of the top global hubs for the cryptocurrency industry.
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Nexo price went parabolic and then dived. Is it a good buy?
Nexo price went parabolic and then quickly erased most of the gains as cryptocurrency prices recovered. The token jumped to a high of $1.0541, which was the highest level since June 12th. This price was about 92% above the lowest level in June of this year.
Cryptocurrency prices rebound
Nexo is a leading blockchain company that offers a number of services. Its primary product is a platform that lets people borrow money that is backed with their cryptocurrencies. Nexo also offers an investing platform that lets people earn excellent returns by just depositing their coins. For example, you can earn an APY of over 10% by holding coins like Avalanche and Solana.
Further, Nexo has a card that lets people spend their coins without withdrawing their cryptocurrency holdings. In addition, Nexo operates an exchange where people can buy and sell cryptocurrencies like Bitcoin and Ethereum.
Learn more about the best crypto app.
Nexo is a large company that has over 4 million customers globally. In the past few years, the firm has handled cryptocurrencies worth over $80 billion.
Nexo, like other companies in the industry, has come under intense pressure because of the ongoing crypto crash. The firm has been under more fire because its operations are similar to that of Celsius, a company that recently filed for bankruptcy.
Nexo has defended its business by citing its strong balance sheet and the fact that it lends funds from its Earn Crypto product on a strictly overcollaterization basis. This means that it will do well even if many customers default. The company also spend money to acquire Vauld.
The Nexo price is rising as investors cheer the rebound of cryptocurrencies. This also explains why shares of companies like Coinbase and SoFi jumped sharply on Monday.
Nexo price prediction
The four-hour chart shows that the Nexo price went parabolic on Tuesday. As it rose, the coin managed to move above the descending trendline that is shown in blue. It also rose above the 25-day and 50-day moving averages while the Relative Strength Index (RSI) rose above the overbought level.
The current price of $0.7357 is an important support level since it was the highest point on June 7th. While the pair has retreated, there is a likelihood that it will keep rising as investors buy the dip. If this happens, the next key level to watch will be at $1.
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Bitcoin (BTC) rebounds after crashing below $30,000 – Can it surge past $34,000?
Bitcoin (BTC) appears to have slightly recovered after one of its worst crashes in 2022. The coin had fallen below $30,000 for the first time since July last year. However, it rebounded sharply in a few days. Here are the main takeaways:
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BTC is currently hovering above $31,000 after a slight recovery over the last 24 hours
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However, there still remains a significant downside risk that could push BTC below $30,000
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Bullish RSI divergence however suggests a Bitcoin surge towards $34,000 could happen
Data Source: Tradingview
Bitcoin (BTC) – How the price may playout
Bitcoin (BTC) fell below $30,000 for the first time in almost 10 months. Although the coin had seen sharper falls in 2022, it had never breached $30,000. The mega-cap however recovered almost instantly and is now hovering above $31,000.
Despite this, a lot of downside risk still remains. In fact, there are fears that slow investor sentiment and an ongoing broader correction in the market could crash BTC to $20,000 before any future bull run. But momentum indicators show that there is an opportunity for short-term gains.
We expect BTC to test $34,000 based on the current RSI divergence. However, upward momentum remains severely limited. Unless something drastic happens to change sentiment, BTC will likely sell off after hitting $34,000 and may as well lose the $30,000 support once more.
Where will BTC bottom?
A lot of analysts were expecting some correction in Bitcoin this year. However, the price has fallen sharply than expected. If BTC is not able to stay above $30,000, we are going to see a huge drop in the price.
In fact, downside risks below $30,000 are so serious to a point where BTC could go into free fall once it firmly settles below $30,000. Most analysts fear the coin could bottom at $20,000 before its next run.
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