The defunct cryptocurrency leader Celsius Network has started converting its altcoin assets into Bitcoin (BTC) and Ethereum (ETH). Concerns about a potential sell-off of well-known cryptocurrencies have surfaced following a recent court decision allowing the conversion.
Celsius Network has been going through bankruptcy procedures since July 2022 when it filed for Chapter 11 protection with liabilities of up to $10 billion. The corporation can now begin exchanging its alternative currencies into BTC and ETH as of July 1 after receiving court authorization on June 30. Notably, it has been seen actively sending cryptocurrencies to several wallets, with a substantial amount going to the wallet address “0x4131”, according to on-chain analysis firm Lookonchain.
Celsius made its first swap yesterday, sending Wintermute Trading 1,393 StaFi and receiving 1,383 ETH in exchange. Additionally, the wallets of Celsius Network presently contain CEL worth around $100 million (in paper currency), $296 million worth of Bitcoin and $120 million worth of Ethereum.
The altcoins held by Celsius Network amount to approximately $164.5 million on the EVM chain, including:
- 3.16 million LINK ($19.9 million)
- 98,268 AAVE ($7.36 million)
- 2.9 million SNX ($6.2 million)
- 7.95 million TGBP ($5.49 million)
- 1,812 PAXG ($3.45 million)
- 12,650 BNB ($3.02 million)
- 3.841 million MATIC ($2.65 million)
- 419,899 UNI ($2.27 million)
- 9.25 million ZRX ($2.0 million)
Recent information from Arkham Intelligence revealed that Celsius transferred altcoins and stablecoins worth almost $70 million to various wallets. These wallets include those connected to stablecoin producer Paxos, cryptocurrency market creator, Wintermute, and cryptocurrency custodian Fireblocks.
Market participants continue to keep a close eye on Celsius Network as it swaps altcoins for BTC and ETH while taking into account the potential effects on the altcoin market and the larger crypto environment.