Celsius Raises $750 Mln In Its Last Crowd Fundraising.

Celsius Raises $750 Mln In Its Last Crowd Fundraising.

2021-11-26 | Mike Hallen

Celsius Raises $750 Mln In Its Last Crowd Fundraising.

The oversubscribed $750-million investment round, according to Celsius CEO Alex Mashinsky, is a "really excellent indication" of the strength of the company's lending and yielding brand. Due to oversubscription in the firm's capital campaign, Celsius Network has increased its $400 million Series B investment round from October to $750 million. The round was previously stopped on Oct. 12 at a period of increased regulatory scrutiny on crypto lending services by local officials. "It's not $400 million," Mashinsky said at the time. It's the trustworthiness of the folks who drew those cheques." The fresh funds will be used to grow into new markets and product offerings, as well as to develop CelsiusX, the company's newly announced centralized finance-to-decentralized finance (DeFi) bridge initiative. Celsius will also invest in increasing the "utility of its platform" as well as its commitment to long-term Bitcoin (BTC) mining. The fact that the round was oversubscribed, according to Mashinsky, is a "really positive sign" of the power of the Celsius brand, which he describes as "user-focused." "If you think about what we do, which is pay yield to the community, we've paid over $1 billion to our community, and we obtain that yield mostly from exchanges and institutions." And most of our competitors [...] charge fees to their customers and then distribute the proceeds to their shareholders," he explained. Celsius announced intentions earlier this week to invest another $300 million in North America to expand its BTC mining operations, bringing its total investment in the industry to $500 million. The Celsius CEO also mentioned the company's $115 million acquisition of crypto custody platform GK8 earlier this month, revealing that the company plans to enter the nonfungible token sector in the near future, though it won't be launching a marketplace because he believes there are already too many similar platforms. When asked about the firm's $20 million crowdfunding round in August 2020, Mashinsky said the company was valued at around $150 million at the time, and while investors are currently unable to sell their holdings, it has proven to be a profitable investment: "Basically, those 1,000 people made on average, what is it, 25 times their money or something like that?" It's obvious that it's not liquid; they won't be able to sell it tomorrow. However, we believe they are ecstatic."

Leave a comment

Your email address will not be published. Required fields are marked *

Top 7 cryptocurrency overview



Best trading tool for cryptocurrency

2022 Top cryptocurrency Price Prediction List