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Celsius acknowledges $1.2B hole in balance sheet

coindesk.com

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Re: Celsius acknowledges $1.2B hole in balance sheet

#51

Post by JumpCrisscross »

sergiotapia wrote: post #14
adam_arthur wrote: post #3

Scam, after scam, after scam, after scam...

Still waiting to see even one single useful use case for cryptocurrency and block-chain storage. It's all a grift to take money away from stupid retail investors trying to get rich quick.

Crypto is our generation’s write off. The cost of a free market economy. We’ll have people with stranded skill sets. They deserve compassion; though based on precedent, they will find none.

Maybe in a hundred years we’ll realise they were ahead of their time. When some UN blockchain extends across the solar system. Like how we remember N. Tesla and the 90s’ satellite internet folk. Financially ruined. But cute in their own way.

There are a lot of boomers recapitulating their 90s in crypto. They’re fine. They’re gambling. I have a lot more sympathy for the young people wrapped up in the whirlwind. They’re making me wealthy. But oof, do I wish they’d widen up.

Re: Celsius acknowledges $1.2B hole in balance sheet

#52

Post by djbusby »

kareemsabri wrote: post #37
strangescript wrote: post #19

Earlier quoted context omitted.

They weren't really scamming, but got scammed along with several other companies that were trying to be legit. They made large loans to three arrows capital because on the surface it seemed like a legit serious business hedge fund, but it turned out it making tons of high risk bets in the crypto scene that fell apart when the market crashed.

In what way did it seem like a "legit serious business hedge fund"? I'm unclear how Celsius got scammed making loans to a hedge fund that is on record as investing exclusively in crypto since 2018 [1] - did the hedge fund lie about their positions? 1. https://www.smh.com.au/business/markets/school-friends-start...

It seems "legit" because both orgs already believed in the "Power of Crypto".

Like if we both, a priori, believe the earth is flat, we'd seem "legit" to each other.

Re: Celsius acknowledges $1.2B hole in balance sheet

#53

Post by [deleted] »

Invictus0 wrote: post #49
yomkippur wrote: post #40

What's sad is that some pension funds have exposure to Celcius. Imagine teaching for decades only to find your retirement pension is reduced because the manager thought it was a good idea to put your money into a ponzi scheme

I am not sympathetic to teachers or pension funds whatsoever. Teachers should take control of their investments like everyone else: either invest it yourself or make your pension managers invest it properly. Pension funds do all sorts of stupid things: they played a role in 2008, they invest in big oil and other anti-ESG stocks, and now this. They're huge pools of poorly governed funds, it's inevitable that they get…

[deleted]

Re: Celsius acknowledges $1.2B hole in balance sheet

#54

Post by Dylan16807 »

adrr wrote: post #46
Barrera wrote: post #41

And yet the site apparently continues to accept deposits: https://celsius.network Business as usual. Oh yeah, check out our hello bar for that minor detail that withdrawal, swap, and transfers are "currently paused." These guys are going to prison.

People were still buying hertz stock even though they were going through bankruptcy. They even tried to do secondary offering. Retail investors don’t operate with enough information to make financially sound decisions.

And those people might have been right??

Re: Celsius acknowledges $1.2B hole in balance sheet

#55

Post by impulser_ »

sergiotapia wrote: post #14
adam_arthur wrote: post #3

Scam, after scam, after scam, after scam...

Still waiting to see even one single useful use case for cryptocurrency and block-chain storage. It's all a grift to take money away from stupid retail investors trying to get rich quick.

There are features of cryptocurrencies that would actually be useful in today's financial services.

The main one would be near instant settlement. If I make a transaction on Bitcoin, that transaction is completely settled and verified and approved over a hundred thousands times within an hour.

All parties can trust that the transaction happened and everyone has their money. That's not possible in today's financial systems. We don't even have settlements on weekends.

If you sell a stock on Friday, you aren't going to get your money until Wednesday at the earliest. We don't even have T+1 settlement in the US yet lol.

Why do business days exist in todays financial system. If I transfer money from my brokerage on Friday why can I get access to that money right away instead of waiting over the weekend.

Re: Celsius acknowledges $1.2B hole in balance sheet

#56

Post by ufo »

bluelightning2k wrote: post #2

If I read it correctly it's more like a 1.8 bn hole. They are counting 600m of their own token, which already had only 170m or whatever of market cap, which presumably now is absolutely worthless. I don't mean worthless in a conceptual sense like all crypto, but this specific brand of made up money is based on the trust of a bankrupt lender. Nobody is buying that and counting it as 600m of asset is absurd. It's like…

Don't forget about the $720M in "Mining Assets". I wouldn't be surprised if the true value were much lower than this, now that crypto prices have crashed.

Re: Celsius acknowledges $1.2B hole in balance sheet

#57

Post by Aperocky »

amluto wrote: post #36
SilasX wrote: post #13

Earlier quoted context omitted.

For reasons I don’t claim to understand, their token is still trading at about a third of where it was three months ago: https://coinmarketcap.com/currencies/celsius/

This happened with Hertz during bankruptcy. And apparently it wasn’t entirely nuts: https://www.forbes.com/sites/kevindowd/2021/11/07/how-hertz-...

Hertz had actual vehicles.

Re: Celsius acknowledges $1.2B hole in balance sheet

#58

Post by sergiotapia »

mccorrinall wrote: post #16
sergiotapia wrote: post #14

Earlier quoted context omitted.

Still waiting to see even one single useful use case for cryptocurrency and block-chain storage. It's all a grift to take money away from stupid retail investors trying to get rich quick.

I pay my servers at vultr.com, my domains on porkbun.com and my drugs on $market with bitcoin :)

I can also flip my burgers with my flipflop. I was asking for a useful usecase.

Re: Celsius acknowledges $1.2B hole in balance sheet

#59

Post by abakker »

SilasX wrote: post #35
abakker wrote: post #30

Earlier quoted context omitted.

the government backs its currency by having _different rights_ than private companies. E.g. the ability to levy taxes and field an army. We the citizens have given them those rights specifically so that they are the highest authority. This is why a currency that derives from them is better than a currency that derives from anonymous scammers on the internet.

Did you mean to reply to the grandparent of my comment, to which that would be responsive? I was asking why the parent of my comment “contributed” with an argument from “that’s a low status belief” rather than a comment more like yours.

yep, but now it's flagged so I can't move it.

Re: Celsius acknowledges $1.2B hole in balance sheet

#60

Post by brianobush »

sergiotapia wrote: post #14
adam_arthur wrote: post #3

Scam, after scam, after scam, after scam...

Still waiting to see even one single useful use case for cryptocurrency and block-chain storage. It's all a grift to take money away from stupid retail investors trying to get rich quick.

I would like to make quick (<30 min) transactions of large amounts. I can do that with BTC, but it would be nice to do this with USD. Currently, this involves finding a bank, go during the right time, proper account numbers, etc.
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