Celsius Launches wETH Lending Pool on Maple Finance
- Celsius has become the first CeFi platform to utilize Maple Finance’s DeFi infrastructure to facilitate a $30 million lending pool.
- Celsius has also joined BlockTower, Orthiginal Trading, Maven 11 Capital, and Alameda Research as Pool Delegates on Maple.
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Crypto lender Celsius has become the first centralized finance platform to leverage Maple Finance’s infrastructure and run a lending business using decentralized finance (DeFi), the Maple Finance said in a blog post on 24 February.
According to the announcement, Celsius has committed $30 million worth of wrapped Ethereum (wETH) to Maple Finance’s liquidity pools with the goal of providing capital to fast-growing crypto institutions. Celsius has now entered institutional DeFi as a pool delegate, and issue and manage undercollateralized loans to borrowers based on their profitability. The CEO of Celsius, Alex Mashinksy, said in a statement:
“We are excited to use Maple’s DeFi rails to provide efficient access to capital for blue-chip crypto institutions. Maple’s lending infrastructure means we can move quickly and securely into the space. Celsius will draw on its deep experience in underwriting and look forward to welcoming new borrowers this year and beyond.”
This will be the first wETH pool on Maple Finance — which has so far provided liquidity only in USDC — enabling investors to utilize the asset across different trading components. Celsius is also joining BlockTower, Orthiginal Trading, Maven 11 Capital, and Alameda Research as a Pool Delegates on Maple.
While Celsius’ pool is only starting at $30 million, it will not be surprising to see its value increase in the next few months. Alameda Research became the first to launch a pool in the form of a syndicated loan on Maple back in November, and since then has grown to over $100 million.
- An investigation from the New York Attorney General’s office has allegedly found that Gemini was aware of Genesis’ weak financial position, but still lied to investors.
- The lawsuit is looking to ban DCG, Genesis, and Gemini from the New York financial industry, seek restitutions for investments, and the return of “ill-gotten gains”.
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- The bankrupt crypto lender said that if its reorganization plan is approved, it is ready to start repaying its customers using $2 billion in BTC and ETH by the end of the year.
- If given the green light, Celsius will restart its business under the “NewCo” brand without any funded debt, and with seed funding of up to $450 million.
- Bankrupt crypto lender Genesis is trying to recover around $500 million from DCG, and another 4,550.5 BTC from DCGI, which it had loaned to the two companies in 2022.
- Both DCG and DCGI requested that the debts were converted to open loans on 9 May, but Genesis declined both offers and demanded the repayment of the loans with interest.