Voyager and Celsius, two crypto loan firms that faced challenges in the past, have reemerged to address their creditors and make amends. Voyager has started allowing customer withdrawals, reducing its holdings from $413 million to $307.5 million. Meanwhile, Celsius has been ordered by a U.S. Bankruptcy Court to convert its altcoins into Bitcoin and Ethereum. Despite the court order, there have been no outflows reported from Celsius so far.
In the midst of the crypto market’s positive momentum, Bitget, a copy trading platform, is venturing into the crypto loan sector with its product called Crypto Loans. This product allows users to stake one digital asset as collateral and receive a loan in another digital asset. Notably, Voyager and Celsius were prominent players in the crypto loan industry before experiencing setbacks.
While creditors of Voyager await their payments, the legal firm McDermott Will & Emery has earned $5.17 million in fees from representing the Voyager credit committee. The total legal fees for the committee amount to $16.5 million.
As the crypto market thrives, the return of these crypto loan firms raises questions about their ability to regain trust and operate successfully in the future.
Starting tomorrow (July 1st), Celsius will sell all creditors’ altcoins (except for Custody accounts) and convert them into #Bitcoin and #Ethereum.
More details on https://t.co/2XWwRMKE3L
— Celsians (@CelsiansNetwork) June 30, 2023
Confidence in the crypto market is inspiring but over-confidence fundamentally led to the industry’s downfall last year.
Elsewhere:
- Jinan, the capital city of Shandong Province in China, is actively promoting the adoption of the country’s central bank digital currency (CBDC), known as the digital yuan. The city has implemented digital yuan payments on all its bus routes, following a successful pilot phase on two bus lines. Passengers who choose to pay with the digital yuan are offered incentives such as up to two discounted rides per day and a maximum of six discounted rides per month. This initiative in Jinan is part of China’s broader efforts to encourage the widespread use and acceptance of the digital yuan throughout the country.
- Gemini co-founder Cameron Winklevoss has presented a “final offer” in the debt-restructuring talks with Genesis, a bankrupt digital asset firm. The offer consists of $1.465 billion in forbearance payments and new loans, which would be provided in USD, Bitcoin, and Ethereum. Previously, Winklevoss had accused Barry Silbert, the owner of Genesis’ parent company DCG, of fraud. If the offer is not accepted, Gemini intends to take legal action against DCG and Silbert. Additionally, Winklevoss plans to demand the immediate repayment of $630 million owed to creditors and users of the Earn platform.
- Telegram’s blockchain network, The Open Network (TON), has introduced a new feature that enables on-chain encrypted messaging. This feature allows users of TON to securely send private messages. TON, developed by the TON Foundation, aims to provide scalability, high transaction throughput, and decentralization within the Web3 ecosystem. Previously, messages sent on TON were public, but with the introduction of end-to-end encryption, messages can now be sent securely. The company highlighted that even in the event of a failure of conventional messenger servers, users will still be able to send messages via the decentralized TON blockchain, ensuring message continuity.
TON Foundation Introduces Encrypted Transaction Messages👇💎https://t.co/HXKtk0gxKC pic.twitter.com/0z1z4E5ku1
— TON 💎 (@ton_blockchain) July 3, 2023