The currency, on Monday, closed at an all-time low of 79.45 against US dollar
Celsius Network LLC has hired restructuring consultants from advisory firm Alvarez & Marsal to advise on a possible bankruptcy filing, the Wall Street Journal reported, citing people familiar with the matter.
The New Jersey-based cryptocurrency lending company froze withdrawals and transfers earlier this month due to “extreme” market conditions, in the latest sign of the financial market downturn hitting the cryptosphere.
A separate report from CoinDesk said that Wall Street bank Goldman Sachs was looking to raise $2 billion from investors to buy distressed assets from Celsius.
The proposed deal would allow investors to buy the assets at potentially big discounts if the cryptocurrency lender files for bankruptcy, according to the report, which cited two people familiar with the matter.
Celsius had $11.8 billion in assets as of last month. The company and Alvarez & Marsal did not immediately respond to Reuters requests for comment.
The market for digital assets has in recent months been roiled by extreme volatility as investors dump risky assets on fears that aggressive interest rate hikes to tame stubborn inflation could plunge the economy into recession.
The currency, on Monday, closed at an all-time low of 79.45 against US dollar
Currency was trading at 78.86 against US dollar in opening trade
Economic sanctions on Russia may drive global energy prices higher, put pressure on emerging market currencies
The cryptocurrency is nothing more than a string of digital codes, report says
Global oil benchmark Brent crude futures fell 2.17% to $109.32 per barrel
Lower crude prices in international market supported the local unit and restricted its fall
This is the first time the price has fallen below the mark since late 2020
Firm trend in equities and weak American dollar in the overseas market supported the currency