Finally, the Celsius platform is getting light of help from its own rival company Nexo to bring services alive again with better confidence.
Nexo & Celsius are crypto lending platforms. Both of these two platforms are known to provide crypto lending services, where people can take and give loans to earn a high % yield. In short, both of these two platforms work as crypto banks, where crypto holders can hold their assets to make additional money in the form of interest.
On 13 June, the Celsius platform announced that it is stopping trade and withdrawal services for users because of extreme crypto market conditions.
“Due to extreme market conditions, today we are announcing that Celsius is pausing all withdrawals, Swaps, and transfers between accounts.”
The Celsius platform also stated that the current situation is not much better for the users and decision has been taken to remain stable under this situation so that the platform can stabilize liquidity and operations.
On the same day, Crypto lending platform Nexo took to Twitter to confirm that its operations are fine unlike the situation of Celsius, in order to bring confidence among the Nexo platform users under this critical situation where panic is a very normal thing after Celsius’ decision.
The Nexo team stated that it is not enjoying the downfall of any other business of its rival but it warned other projects to remain dependent on a sustainable & risk-free business model.
In the end, Nexo confirmed that it is also ready to help the Celsius platform in this situation by buying Celsius’ qualifying assets as the rival deals with what appears to be a severe liquidity crisis.
Through the open letter, Nexo stated:
“Nexo is in а solid liquidity and equity position to readily acquire any remaining qualifying assets of Celsius, mainly their collateralized loan portfolio.”
These things are confirming that Crypto lending platforms are working together to maintain trust in the crypto industry toward the crypto lending platform and also they don’t want to see any kind of situation like downfall in Stablecoin UST & impact on the whole stablecoin market.