Celsius, the crypto lending and borrowing platform, has announced that it holds more than $2.2 billion in digital assets under management.
It has been reported that Celsius has more than doubled its net crypto holdings six months after first surpassing $1 billion in June.
However, the platform has attracted more than 215,000 total users worldwide in total. Excluding its AUM, Celsius’ balance sheet now includes cash and its native CEL tokens, worth more than $680 million.
The report said that Celsius offers a centralized alternative to decentralized finance, named “CeFi” by much of the crypto community, as crypto assets deposited on the platform are lent to exchanges and market markers, with 80% of the interest generated being distributed to depositors.
‘Yield is the new killer app’ says crypto lending platform Celsius, which reports it now has more than $2.2 billion in assets under management https://t.co/2uVkkhMw4W — Cointelegraph (@Cointelegraph) November 10, 2020
Celsius claims to have paid more than $80 million in rewards to depositors since launching in July 2018.
Alex Mashinsky, the CEO and founder of Celsius, described his company’s success as proving that “interest income is the new killer app for crypto.”
He added:
“We have created more income for our customers than anyone else in DeFi or CeFi, and we have no plans on slowing down any time soon.”
Likewise, Mashinsky made headlines after gifting his wife 15 million CEL tokens worth $20 million for her birthday last month. He remains the single-largest CEL holder despite the vigorous present, while his wife is now CEL’s fourth-largest holder.
Thus, in August, Celsius raised $20 million from around 1,000 investors in an equity raise hosted by crypto platform BnkToTheFuture, drawing speculation regarding the company’s solvency.
Source: Cointelegraph
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