Goldman Sachs to Acquire Celsius: Raising $2 Billion
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- Wall Street Behemoth Goldman Sachs is raising $2 Billion to acquire the assets of distressed cryptocurrency lender Celsius.
- The reason behind a dip in recent optimization could be attributed to the news of Goldman Sachs to Acquire Celsius.
- Celsius, had $12 billion in assets under management as of May of this year.
Despite a severe China warning, the price of bitcoin, the world’s largest cryptocurrency, has risen by 20%, A surge was seen since BTC falling to a low of under $18,000 per bitcoin last week. While Ethereum and the other top ten cryptocurrencies gained ground, Solana, Cardano, and Dogecoin lost ground. On Tuesday, the leading cryptocurrency, Bitcoin, was consolidating in a narrow trading range of $21,000 to $21,500. The reason behind a dip in recent optimization could be attributed to the news of Goldman Sachs to Acquire Celsius.
Here’s what’s going on right now.
Goldman Sachs to Acquire Celsius: Raising $2 Billion
According to recent reports, Wall Street Behemoth Goldman Sachs is raising $2 Billion to acquire the assets of distressed cryptocurrency lender Celsius. It has harmed the recent Bitcoin and cryptocurrency meltdown. Coindesk first reported the story, and Blockworks later confirmed it. Both cited unnamed sources, that Goldman Sachs intends to raise $2 billion in fund commitments from investors. As a result, the top investment bank is attempting to profit from the Celsius crisis by purchasing the company’s assets at a significant discount.
Celsius on the Verge of Bankruptcy
Celsius, had $12 billion in assets under management as of May of this year. However, it has been on the verge of bankruptcy since suspending user withdrawals from the platform earlier this month. Celsius cited “extreme market conditions and exacerbated a crypto price crash that sent bitcoin plummeting under $20,000.”
Furthermore, Goldman Sachs’ reported bid for Celsius’ cryptocurrency assets is expected to restore some market confidence after traders were shaken by the rapid decline in Bitcoin, Ethereum, and cryptocurrency prices.
Arthur Hayes Remarks on purchase of Celsius Assets
Arthur Hayes, the co-founder of 100x, has a different perspective on the Goldman Sachs transaction. He added a twist to the reports surrounding the purchase of Celsius Assets. Nobody should believe the claims, according to Hayes, until Goldman Sachs issues a formal statement.
According to the firm’s co-founder, the investment bank is unlikely to commit capital to the purchase. Instead, he went on to say that Goldman Sachs will most likely bring together potential investors and help them structure the deal. However, now may not be the best time to invest because it will take time for the cryptocurrency market to recover from the current turbulence and enter a new period of sustained demand from a wide range of investors.
