Nexo, a cryptocurrency loan company, has made an acquisition approach to Celsius, one of its competitors. Celsius has previously suspended its services owing to harsh market conditions.
Nexo stated that the company has a strong cash and equity position despite the price drop. It is proposing to buy any of Celsius’s remaining eligible assets. It explicitly referenced the platform’s collateralized loan portfolio, which is currently in jeopardy as a result of the staked Ethereum depegging.
Nexo also stated that any ideas made to Celsius would be made public. Nexo stated that they reached out to the Celsius team yesterday to offer support as a gesture of goodwill. Celsius, on the other hand, is said to have denied the assistance.
Celsius had already announced that all withdrawals, swaps, and transfers on their site had been halted. This was done to give them a greater chance of avoiding further catastrophe. In the last 24 hours, the price of Celsius (CEL) has plummeted by more than 50%. At the time of publication, CEL was trading at an average price of $0.192
In the meanwhile, Nexo stated that all of their goods and services, including Borrow, Earn, Exchange, and the Nexo Card, are operational. It stated that deposits and withdrawals are proceeding as planned, allowing investors to take the necessary moves in this falling market.
The price of Nexo tokens has decreased by more than 20% in the previous 24 hours. The token’s price plummeted below $1 as a result of the crash. At the time of publication, it was trading at an average price of $0.808 per share.
Nexo claims that its staff is never happy when another blockchain company fails. It did, however, point out that there are significant technical differences that set them apart from the competition. This enables the platform to be financially stable in a variety of market scenarios.
The platform conducts a real-time audit of its custodial assets, demonstrating that the company’s assets always exceed its liabilities, indicating liquidity.