Bitcoin is 70% below its all-time high when it hit $ 69,000. (Photo: Reuters)
The bear market (bear market) of 2022 claims a new victim in the world of cryptocurrencies: the exchange Celsius network entered inside failure After failing with a attempt at “corralito”. The digital asset trading platform has a Deficit of $ 1.19 billion.
From the official documentation it appears that the company based in New Jersey (United States) has pending collection of $ 40 million Three capital arrowsa Singapore-based cryptocurrency investment fund that has also filed for bankruptcy.
The company has only $ 167 million in cash to cope with the costs of the restructuring with which it seeks to stabilize its business and to be able to emerge from bankruptcy.
On June 13, the most popular cryptocurrency, bitcoin, plummeted 15% after learning about it Celsius network suspended all transactions between customers and vetoed the withdrawal of capital because of “extreme conditions” From the market.
The bear market of 2022, one of the most significant in the history of cryptocurrencies
Celsius Network vetoed customer-to-customer transactions and suspended all capital withdrawals in June.
The cryptocurrency market, which had hit historic records during the pandemic, has been collapsing for months, with precipitates Worth of these digital currencies.
Bitcoin closed the first half of the year with some losses of almost 60% of its valueand the cumulative drop from the highs reached last November, when bitcoin hit $ 69,000reached 72%.
Analysts explain that the collapse recorded by cryptocurrencies is due to the tightening of central bank monetary policieswith the consequent fear of a market recession.
It also responds to the measures adopted by various companies in the sector in the face of the fear of a “crypto winter” (a prolonged period of price decline), which generated mistrust among users.
Other victims of the cryptocurrency crash
Buenbit announced massive layoffs in May.
Some companies in the industry like coinbase Y Twins announced headcount reductions of 10% and 18% respectively and warned of the arrival of a winter for cryptocurrencies.
There were also effects on Argentinawhere the Buenbit platform laid off 50% of its staff in May.
“After a 2021 of exponential growth for the technology sector, we are going through a phase of global adjustment and revision, in which from the largest company to the smallest they are forced to redefine their strategy, “Buenbit said.
“Given a new global environment, we are redefining our strategy to become more robust and efficient,” he explained. Federico OgueBuenbit founder, in a Twitter thread.
“Given this new context, we have decided reduce staff and suspend our expansion plan to focus exclusively on the functioning of the countries in which we are present today and to maintain a self-sufficient and efficient structure “, he added.
The hurricane triggered with the fall of the moonthe cryptocurrency destined to catalyze the unstable TerraUSDwhich was designed to maintain a constant parity at one dollar, but it sank: Luna has fallen by almost 120 dollars which was listed in early April less than a penny.
With information from agencies.
SL
Source: Clarin
