There is a lot of talk that the Celsius (CEL) token could go the way of Luna and TeraUST and crash to zero. When Celsius said that withdrawals would be stopped to “stabilize liquidity,” the stock fell by about 70%. There are rumors going around about the crypto staking and lending platform that say the company sent $247 million in Wrapped Bitcoin from AAVE to the FTX exchange. Social media is full of rumors that Celsius has been moving around huge amounts of Bitcoin, Ethereum, and other cryptocurrencies while putting a stop to its customers’ withdrawals at the same time.
At 18:00 EDT on June 12, the main DeFi wallet for Celsius started moving money in a strange and unexpected way. When WBTC was taken off the main AAVE platform for staking and lending, the liquidity was moved to FTX. The money that Celsius put in his DeFi wallet earned him interest.
Users say that a total of $247 million worth of WBTC tokens have been moved from Aave to FTX. The company has had trouble because it is hard to predict how the Celsius network’s liquidity will move.
The accused users of Celsius are said to have moved $74.5 million worth of Ethereum and WBTC to FTX. As a result of these claims, users have demanded explanations from Celsius’ board members as to how their funds have been used.
Celsius has been accused of giving $320 million to the FTX exchange while stopping its customers from withdrawing their money.
DeFi’s main wallet 0x8ace was emptied of 50,000 Ether and 7,000 WBTC collateral by Celsius. #FTX has got 6,000 WBTC and 20,000 Ether so far. One Twitter user said, “After getting $169 million USDC from FTX.”
A Celsius Network That Is Free to Fall
When Celsius said it would stop taking deposits, the price dropped by 70%. The token has lost about 40% of its value, and it could lose a lot more. Bitcoin has also dropped below $25,000 today, and the whole cryptocurrency market is in chaos. Because of this, Bitcoin, the most popular digital currency, has lost $200 million in the last 24 hours.
If you want to “buy the dip,” it’s best to stay away from CEL Network. Also, the cryptocurrency market is now in freefall, so CEL might see more drops.
As of the time this article was written, the price of Celsius had dropped by 40.4% in the last 24 hours, to $0.226039. It has also dropped 97 percent from its all-time high of $8.05 in June of last year, which was the highest price ever.