Celsius Invests $200 Million in North American Bitcoin Mining

  • Celsius will invested in equipment and positions in three large North American Bitcoin mining companies.
  • The $200 million investment will make it the largest investors in the Bitcoin mining industry in the U.S.
Crypto mining hardware

Shutterstock

According to a press release published on 4 June, Celsius has invested over $200 million in mining equipment and positions in three North American Bitcoin mining companies—Core Scientific, Rhodium Enterprises, and Luxor Technologies. Core Scientific is a customizable infrastructure and software solution provider for blockchain networks, Rhodium Enterprises is a Texas-based mining firm, while Luxor Technologies is a hash rate-based software company.

Alex Mashinsky, the CEO of Celsius, said that the company considers Bitcoin as the flagship cryptocurrency that sets the course for the entire crypto industry. That is why Celsius plans on vitalizing the Bitcoin mining industry in North America through the use of renewable sources, he explained in the release.

Celsius is one of the fastest-growing lending and borrowing platforms in the industry. Last month, the company revealed that it took only 100 days to more than triple its cryptocurrency assets under management. On 3 June, the company announced that it held over 100,000 BTC, adding that the cryptocurrency accounted for about 25% of its total community assets. 

Discussion
Related Coverage
Celsius Releases List of Users Eligible to Withdraw Assets
  • The 1,400-page document lists the names of all users eligible for withdrawals, as well as the conditions that they need to meet in order to withdraw their assets.
  • The bankruptcy court has permitted Celsius to return 94% of each eligible user’s assets, but only after their account has been updated with AML and KYC data.
16 hours ago
celsius

Shutterstock

Independent Examiner Finds Celsius Used New Customer Funds to Pay for Withdrawals
  • A 700-page report from an independent examiner claims that Celsius concealed the extent to which it was market-making its own CEL token.
  • The examiner also found instances where Celsius used new customer funds to cover the liabilities of other customers, a behavior described as “very Ponzi like”.
Celsius Allowed to Proceed with Flare Token Distribution
  • Due to Celsius’ prior agreement with Flare, the U.S. bankruptcy court has authorized the crypto lender to credit eligible account holders with the FLR they were entitled to.
  • During the Tuesday hearing, Celsius’ lawyers proposed a new plan to reorganize the company, and issue a new token that would entitle its holders to receive dividends over time.