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FTX CEO Sam Bankman-Fried Mulls Acquiring Celsius Assets

FTX CEO Sam Bankman-Fried Mulls Acquiring Celsius Assets

Summary:

  • Sam Bankman-Fried could acquire assets from bankrupt crypto lender Celsius, Bloomberg reported.
  • SBF already acquired Voyager Digital assets in a massive $1.4 billion deal.
  • Celsius is the process of restructuring and regaining stability after falling into insolvency earlier in the year.
  • CEO Alex Mashinsky stepped down on Tuesday as part of the process, reports say.

Sam Bankman-Fried, CEO of crypto exchange FTX and its sister firm Alameda, could table bids for Celsius assets as the beleaguered crypto lender navigates the aftermath of a crypto crash and bankruptcy.

Celsius made headlines after pausing withdrawals, deposits, and other operations back in July, a few weeks after Terra’s collapse in May. Since then the firm has filed for chapter 11 bankruptcy and hired restructuring lawyers to help with recovery.

On Tuesday, CEO Alex Mashinsky also resigned from his position amid liquidation scares and recovery plans.

Sam Bankman-Fried Eyes Celsius Assets After Voyager Scoop

Sam Bankman-Fried launched a series of bailouts for crypto companies following Terra’s in May. Alameda, which SBF owns a controlling stake, bolstered troubled crypto broker Voyager Digital with a revolving credit line worth over $200 million in USDC and a massive 15,000 Bitcoin (BTC) loan to match.

Voyager assets recently went on auction as part of the firm’s recovery plan. Notably, SBF scooped up assets from the crypto broker in a deal worth around $1.4 billion. Bloomberg reported on Wednesday that SBF might make a similar move with Celsius and its assets.

Celsius currently operates a crypto custody service and a considerable BTC mining business. Sam Bankman-Fried could target these assets to complement his crypto exchange and trading firm, said a person familiar with the matter.

At press time, Sam Bankman-Fried has not confirmed intentions to acquire Celsius assets. However, the crypto billionaire has been quoted on several occasions saying that his company has $1 billion in cash for acquisitions.

Also, FTX has eyes on raising fresh capital via a funding round. Reports say the exchange could raise as much as $1 billion from a new fundraiser.

This article was originally published on  ethereumworldnews.com

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