Does Ripple Really Want to Save Celsius?
Ripple Labs, the firm backing up the crypto asset XRP, intends to purchase the assets on the Celsius network. As per a report from Reuters, the blockchain payments platform expresses being interested in purchasing Celsius’ assets however the strategy to do this has not been explained precisely. Nonetheless, no official remarks have been made by either of the firms regarding their interest up till now.
Ripple Purchasing Assets of Celsius?
A bankruptcy application had been filed by Celsius in the previous month. This was witnessed following the venue froze the transfers and withdrawals from the accounts in their consumers’ possession in June. In the context of this report, a spokesperson from Ripple stated that they are inclined toward buying the assets of Celsius, which is now considered to be a bankrupt crypto lending venue.
Nevertheless, the representative of Ripple did not provide any remark on if the company has a clear stand on its interest in Celsius’ acquisition. The spokesperson mentioned that they have a plan to learn regarding Celsius as well as the assets in its possession, along with having an understanding if any of them has significance for their business. Ripple has kept on achieving substantial expansion and it is dynamically pursuing M&A opportunities for scaling the company systematically.
A considerable decline has been undergone by the crypto market as the primary crypto asset lowered by up to 70% (decreasing from the all-time high of nearly $69,000) in November. A jolt was experienced by the entire crypto industry after the famous stablecoins LUNA and terraUSD in May, paving the way for the wide-ranged losses suffered by many prominent market players. As noted in the bankruptcy filings, the assets of Celsius take into account the digital assets kept in the loans, and custody accounts, as well as a business of BTC mining.
XRP Shows Steady Performance
Ripple, a privately owned forum, has not formerly carried out any large contracts. The valuation of the company was approximately $15B in January, as pointed out by the venue, though the valuations within the industry saw a huge collapse as the crypto price crashed during some of the former months, assisting the troubled Celsius along with the rest of the crypto platforms. In the 2nd quarter this year, $408.9M was the number of net purchases in the venue’s native asset XRP.
