After Halting Withdrawals, Celsius Transfers 250,000 Wrapped Bitcoin To FTX Exchange

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Alex Mashinsky CEO of Celsius Network
Alex Mashinsky CEO of Celsius Network

Lending platform Celsius has transferred nearly 25,000 Wrapped Bitcoin (wBTC), worth $528.9 million, to crypto exchange FTX, raising concerns from the crypto community about whether a dump may soon follow. 

The massive transfer to the exchange comes after the lending platform paid off its remaining $41.2 million of debt to Maker protocol, freeing up its loan’s entire wBTC collateral.

Nonetheless, the community is fearing that a dump of the wBTC on the exchange could soon follow, dragging Bitcoin (BTC) price down even lower.

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Others have been more positive that the move may be in preparation for Celsius to swap their Wrapped Bitcoin for BTC, which may be a good sign for depositors who’ve been hoping for Bitcoin withdrawals to eventually reopen on the Celsius platform. Bitcoin is up 8% in the past 24 hours to trade above $22,100, suggesting market participants are taking the news in their stride.

The 21,962 WBTC unlocked from paying off the remaining DAI loan has already found its way to FTX…