According to the terms of the contract with the cryptocurrency platform, the Celsius debt has subsequently been liquidated, according to the tether stablecoin's (USDT) issuer. Tether claims that this liquidation was carried out in a fashion that had no effect on the market.
The Tether team also disclosed that the business owns a stake in the Celsius Network. However, they clarified that it was distinct from USDT's reserves and only made up a small portion of shareholder ownership. They clarified:
While Tether’s portfolio does include an investment in Celsius, representing a minimal part of its shareholder’s equity, there is no correlation between this investment and Tether’s own reserves or stability.
Since suspending all withdrawals on June 12 because of "extreme market circumstances," Celsius has been battling for its existence. Since then, client funds have been locked. In May, Celsius reported having 1.7 million clients and managing about $12 billion in assets.
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