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Celsius Application to Cease Operations, Company Designates PayPal for Bitcoin Distribution
Celsius, the innovative crypto lending platform that encountered financial difficulties, has recently released its revised disclosure statement. This announcement reveals the company’s plan to discontinue its app within the next three months. This move is a crucial element of their extensive effort to streamline operations, enhance distribution methods, and improve the user experience.
In this statement, Celsius has detailed its strategy for providing substantial crypto-based recoveries to its creditors. Specifically, the firm intends to distribute easily tradable cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH) to qualifying creditors. This ambitious distribution initiative is estimated to total approximately $2.03 billion, although it may be subject to potential changes in the values of BTC and ETH.
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At the same time, the decision to phase out the Celsius App after ninety days is based on several factors. Chief among these is the financial strain of maintaining the platform for an extended period to oversee withdrawal processes.
Celsius has opted to partner with external distribution entities to ensure an efficient process. Among these collaborators, PayPal has emerged as a prominent option for managing certain distributions to individual creditors in the United States. For other distributions, Celsius is actively seeking additional distribution partners. If appropriate partners cannot be found, Celsius pledges to keep its platform operational for ninety days following the effective date to facilitate distributions to specific creditors.
Celsius’ experience in handling cryptocurrency withdrawals for Custody and Withhold Account Holders influenced the decision to establish a ninety-day timeline. As the Celsius App enters its winding-down phase, users are strongly encouraged to act quickly and save their transaction histories for personal records before the deactivation date. Once the app is taken offline, users will lose access to their Celsius accounts and the platform itself.
The post Celsius App to Shut Down, Firm Identifies PayPal for BTC Distribution appeared first on BitcoinWorld.
