Crypto Chaos Continues as Loans Firm Cuts Withdrawal Limit, 3AC Moves Funds, & Celsius Apparently Pays Maker

cryptonews.com:

Crypto turmoil continues to deepen in the bear market, with more Celsius-related developments, another crypto loans firm introducing restrictions, and more activity from Three Arrows Capital (3AC) – which appears to have moved some of its funds.

Celsius, which operates the celsius (CEL) token and the eponymous blockchain network, appears to have begun paying back a large portion of the debt it owes to the Maker (MKR) protocol.

Statistics from the DeFi Explorer platform show that a vault believed to be owned by Celsius began making its most recent DAI repayments on July 1. It followed up with another on July 3 and two more on July 4 – making for a combined total of USD 142.8 million. A number of repayments were also made in mid-June.

The vault makes use of wrapped bitcoin (WBTC) as collateral, meaning that the vault will automatically be liquidated should BTC fall below a safety level. Last month, that liquidation price fell to around USD 17,000 – with BTC hovering around the USD 20,000 mark.

Celsius, which has recently slashed a quarter of its workforce, per a report from Israel, still appears to owe Maker USD 82 million. This apparent move does appear to indicate, however, that the firm has not yet given up the ghost – amid widespread fears that it could join the fast-growing ranks of crypto bankruptcies.

Celsius has previously claimed it is “working as quickly” as it can to “stabilize liquidity and operations” – although insolvency fears continue.

The ailing crypto hedge fund 3AC, as previously reported, has been ordered to liquidate by a British Virgin Islands court and has also been seeking protection from creditors in the United States under the terms of the Bankruptcy Code, which lets overseas debtors protect