The maneuver could apply significant sell pressure on the tokens’ prices due to deteriorated liquidity, crypto analytics firm Kaiko noted in a report last week.
The moves followed a U.S. bankruptcy judge’s decision on June 30 to allow the embattled lender to convert its stash of smaller tokens worth some $170 million to the two largest cryptocurrencies by market cap starting this month. Celsius filed for bankruptcy protection last summer after halting withdrawals. Its former chief executive, Alex Mashinsky, was arraigned Thursday on fraud charges by the Department of Justice (DOJ).
Recently, Celsius moved some $64 million of tokens out from custody wallets to its over-the-counter deposit wallet, foreshadowing potential token sales.
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