Celsius Network raised $400 million in the latest funding round led by WestCap and will use the funds to expand its operations so let’s read more in our latest altcoin news today.
Celsius network raised $400 million in investments from equity firm Westcap and investment group Caisse de depot et placement du Quebec so now with it, Celsius is valued at over $3 billion USD. As stated in the press release, the company’s net proceeds will go to expanding its product offerings and further bridging the crypto to the traditional finance space. It will also focus on developing products that are suited to large-scale institutions that are taking an unprecedented interest in the space like the recent analysis from JPMorgan that shows these institutions are preferring BTC over gold as an inflation hedge.
Another part of Celsius’ funds will be used to expand their team to double the capacity from 486 to 1000 employees. From the adoption perspective, the lender already saw considerable growth with 1 million registered customers. It paid out over $850 million in interest to the users over a three-year period. The CEO of Celsius Network Alex Mashinsky believes the recent investment will help the company revolutionize the financial industry:
“We are pleased by the response we received from many leading financial investors during this fundraise. The partnership with WestCap and CDPQ puts Celsius in a position to grow and further its mission to leverage blockchain technology to connect and decentralize the traditional finance”
In the meantime, Laurence Tosi, the founder, and managing partner at WestCap believes that Mashinsky and Celsius have the right framework and approach to consumer protections in order to comply with the regulators:
“Celsius is committed to working constructively with regulators to better understand the dynamic crypto space, protect retail customers from fraud and undue risk, and create general consumer knowledge to allow for thoughtful investment decisions.”
Tosi’s comments are a great thumbs up for Celsius which recieved quite the backlash from regulators. Both Texas and New Jersey targeted Celsius for offering unlicensed securities to its customers but Mashinsky disagreed with the allegations as he stated he remains committed to cooperating with regulators.
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