Celsius Network Completely Pays Off Bitcoin Loan, Liquidation Price Hits 0
Big news for Celsius Network: they have completely paid off their Bitcoin loan, resetting the liquidation price to zero! This marks a significant milestone for the troubled cryptocurrency lending firm, which made headlines after halting withdrawals for its users. The platform has been actively working to repay its loan on the Maker Protocol since mid-June, and this latest payment represents the culmination of those efforts.
According to DeFiExplore.com, Celsius Network paid a total of [amount unspecified in provided snippets] to completely extinguish the loan. Just yesterday, in fact, Celsius fully extinguished the loan it obtained from Maker Protocol, paying the last amount of $41.2 million regarding the Bitcoin loan; thus, Celsius repaid the remaining $41.2 million of the loan in DAI, the Maker protocol's stablecoin. Today, the firm cleared its bitcoin loan by paying another $41.2 million. This payment dropped the liquidation price, which stood at $2722.27, to an absolute $0.00.
With the loan repayments, Celsius’ liquidation price on its Wrapped Bitcoin (wBTC) loan has dropped significantly. Initially, Celsius Network repaid $120 million to Maker, reducing the liquidation price of its DAI loan to below $5,000. The liquidation price reportedly fell dramatically as Celsius continued to pay down the debt. At one point, the liquidation price on its Wrapped Bitcoin (wBTC) loan had dropped to $4,966.99 Bitcoin (BTC).
The freed WBTC can now be sold to cover withdrawals, potentially offering a pathway forward for Celsius to address the withdrawal freeze impacting half a million users. The Celsius Network has now paid off another $50 million of its Bitcoin loan, meaning that the digital currency lending platform is still on the journey to repay the remaining [amount unspecified in provided snippets]. This progress demonstrates Celsius's commitment to resolving its financial challenges and restoring confidence in its platform. Getting your audio player ready for more updates as this story develops.
Summary:
Celsius Network has completely paid off its Bitcoin loan, resetting its liquidation price to zero. This marks a crucial step in the company's efforts to stabilize its financial situation.