DeFi Crypto Firm Celsius Files For Chapter 11 Bankruptcy; CEL Down 30%, AAVE Up 14%

Just days after Celsius repaid its entire loan outstanding to AAVE it filed for chapter 11 bankruptcy in New York. Meanwhile, the crypto market was trading in green with Bitcoin up 4 per cent and Ethereum 6 per cent.

Outlook Money Team

Updated on: 14 July 2022 8:58 am

Celsius, a crypto decentralised finance (DeFi) company, initiated the process for Chapter 11 of the US Bankruptcy Code in the United States Bankruptcy court for the southern district of New York. This move comes after it repaid Aave’s loan fully just a few days ago. Read more about it here.

Members of the Special Committee of the Board of Directors, Celsius, said in a press release, “Today’s filing follows the difficult but necessary decision by Celsius last month to pause withdrawals, swaps, and transfers on its platform to stabilise its business and protect its customers. Without a pause, the acceleration of withdrawals would have allowed certain customers—those who were first to act—to be paid in full while leaving others behind to wait for Celsius to harvest value from illiquid or longer-term asset deployment activities before they receive a recovery.”

Moments ago, @CelsiusNetwork filed voluntary petitions for Chapter 11 protection and announced that the company initiated a financial restructuring. https://t.co/vf5wsT6TMp
— Celsius (@CelsiusNetwork) July 14, 2022

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Cryptocurrency Prices

The global crypto market capitalisation rose by 3.32 per cent to $900.18 billion as of 8.30 am. The global crypto volume was up by 31.21 per cent to $72.98 billion, according to Coinmarketcap data.

Bitcoin (BTC), the world’s oldest cryptocurrency, was trading at $20,264.08, higher by 3.38 per cent in the last 24 hours. Ethereum (ETH) was up by 5.49 per cent to $1,111.54.

Among other significant coins, Cardano (ADA) was up by 3.17 per cent at $0.4354, Algorand (ALGO) was trading with a gain of 3.46 per cent at $0.3081, Solana (SOL) was trading with a gain of 5.24 per cent at $34.86, Polkadot (DOT) was up by 1.56 per cent at $6.49, and Binance Coin (BNB) was up by 3.83 per cent at $232.13.

Today’s top gainer was Convex Finance (CVX), which was up by 19.46 per cent at $6.23. The top loser was TerraClassicUSD
(USTC), which was down by 10.4 per cent at $0.03799.

Meme Coin And DeFi Prices

Dogecoin (DOGE) was up by 1.44 per cent at $0.06129. Its volume to market cap ratio stands at 0.05446. Rival Shiba Inu (SHIB) was up by 4.39 per cent at $0.00001056.

Dogelon Mars (ELON) gained 6.2 per cent to trade at $0.0000003079, Floki Inu (FLOKI) rose 3.87 per cent at $0.000006184, and Samoyed Coin (SAMO) gained 7.5 per cent at $0.008339.

In the DeFi segment, YFI (yearn.finance) was up by 4.24 per cent at $5,811.23, and Terra Classic (LUNC) was trading with a loss of 0.88 per cent at $0.00009341. Avalanche (AVAX) was up by 9.27 per cent at $18.68, Uniswap (UNI) was trading with a gain of 7.59 per cent at $6.08, and Aave (AAVE) rose by 13.56 per cent at $78.81.