Investor proposes rescue plan for Celsius Network

Investor proposes rescue plan for Celsius Network

Investor proposed plan to rescue Celsius Network

The co-founder of the online investment platform BankToTheFuture, Simon Dixon, proposed a plan to rescue the Celsius Network lending service similar to the recovery of Bitfinex after the hack in 2016.

https://twitter.com /SimonDixonTwitt/status/1538630994189762560?ref_src=twsrc%5Etfw

«Since 2011, I have seen Mt.Gox crash the market, then the ICO, and now the market is crashing due to leverage. In each cycle, we introduced innovative solutions using new technologies. Celsius and CEO Alex Mashinsky shared their journey weekly, building a community. I hope he finds the right solution, as our industry always does when financial innovation goes wrong,” Dixon wrote.

He recalled that BnkToTheFuture's plan to restore Bitfinex included the issuance of security tokens, debt financing and the use of equity. According to him, investors then received «very high returns for the high risk they took».

Dixon did not disclose the details of the offer for Celsius:

«I am under no obligation to disclose until Alex [Mashinsky] and the Celsius council are ready. I have to offer a solution, because we have the experience, licenses and technology for this».

In his opinion, traditional finance «will not have a timely solution for Celsius», as can be seen from the example of the Mt.Gox exchange, the rehabilitation of depositors of which has been going on for 10 years. With Bitfinex, the plan worked in nine months, the CEO of BnkToTheFuture emphasized.

«Our industry grows stronger after every disaster. Now is the time to offer bottom-up support that we have always followed,” Dixon said.

He noted that the possible collapse of Celsius will not affect the financial condition of BnkToTheFuture, but will affect 1039 investors who have invested money in the company through it.

What happened to Celsius (CEL)?

Recall that Georgetown University law professor Adam Levitin called the bankruptcy of Celsius almost inevitable.< /p>

According to media reports, the leading investors of the cryptolending platform refused to allocate additional funding to it.

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