Breaking: Ripple Labs Likely To Buy Celsius Assets?

Ripple Labs, the company behind cryptocurrency XRP, is a potential buyer of Celsius network’s assets. According to a Reuters report, the blockchain payments company is interested in Celsius’ assets but there is no clarity on the exact plans. However, there is no official comment from either companies on Ripple Celsius assets buying interest so far. The Celsius network had last month filed for bankruptcy. This came after it halted withdrawals and transfers from user accounts back in June.

Ripple Buying Celsius Assets?

The report quoted a Ripple spokesperson as saying the company is interested in potentially purchasing assets of the bankrupt crypto lender. The report added that Ripple is exploring if Celsius’ assets could be relevant to its interests. However, the Ripple representative did not comment on whether Ripple is out rightly interested in acquiring Celsius.

“We are interested in learning about Celsius and its assets, and whether any could be relevant to our business. Ripple has continued to grow exponentially is actively looking for M&A opportunities to strategically scale the company.”

Asset Sale Plans

While announcing Celsius restructuring plans, the company said it had around $4.3 billion worth of assets. It disclosed $5.5 billion in liabilities and $4.3 billion worth of assets, with $600 million in CEL token worth $170 million. Ripple’s interest in Celsius assets could go very well as the purchase could bring financial relief to retail investors. Celsius had already said it was considering sale of assets to meet its financial requirements.

“The company will also consider asset sales and third-party investment opportunities to meet financial obligations,” it said. The overall objective is to maximize returns for stakeholders, it explained at the time. Meanwhile, the cryptocurrency lender came recently came under the radar of the U.S. Department of financial protection and innovation. In an order, the department said Celsius CEO Alex Mashinsky “made material misrepresentations and omissions in the offer of crypto interest accounts” It was so particularly in understating the risks of depositing digital assets with Celsius, it added.

“Celsius offered accounts that allowed customers to earn interest on digital assets deposited with Celsius without first qualifying those accounts as securities in compliance with California law.”

Anvesh reports major developments around crypto adoption and price analysis. Having been associated with the industry since 2016, Anvesh is a strong advocate of decentralized technologies. Follow Anvesh on Twitter at @AnveshReddyBTC and reach him out at [email protected]

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