Goldman Sachs Raising Funds From Investors to Buy Up Celsius Assets

Goldman Sachs is attempting to acquire $2 billion from investors to purchase risky assets from struggling crypto lender Celsius, according to two persons who know the situation. According to the sources, if Celsius filed for bankruptcy, the proposed transaction would enable investors to purchase its assets at possible significant discounts. Web3 Crypto Funds According to a person familiar with the matter, Goldman Sachs appears to be assessing interest and requesting pledges from Web3 crypto funds, funds specializing in distressed assets, and conventional financial institutions with plenty of cash. The participants in the fundraising effort would then probably handle the assets, which would probably be the cheaply to be sold cryptocurrency. According to a Friday afternoon Wall Street Journal story, Alvarez & Marsal, a restructuring advising firm, has been hired by Celsius. In a surprise announcement on June 12, Celsius, which as of May this year had more than $8 billion lent to clients and $12 billion in assets under management, said it would no longer allow withdrawals from its platform due to “extreme market conditions.” The announcement made these circumstances worse, which momentarily caused bitcoin to trade below $20,000. Celsius Enlists Advisers The Wall Street Journal reported earlier this month that Celsius has also hired lawyers from the law firm Akin Gump Strauss Hauer & Feld in addition to Alvarez & Marsal. Additiona...