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Celsius have rolled out an update to the wallet addresses where CEL tokens are held by Celsius. These updates simply change the address of Celsius Network wallets. There is no action required on the part of our users. This update is part of their commitment to corporate compliance and best practices in the industry. The list of the new addresses is already published.
Meanwhile, Alex Mashinsky has stated, “Having everybody win, especially your customers, is in your best interests as CEO of a successful company. It’s not a compromise.”
However, there is a feeling that every body is winning at Celsius Network except Americans that can’t receive 1% loans on the collateral they loan out.
Germans have great love of Celsius. They adore Mashinsky and CEL.
There is a reason: Celsius Network went from having US$1 billion in assets on its platform to more than US$20 billion in just one year. Founder and CEO Alex Mashinsky says out competing the banks is easy.
Celsius Network’s is very generous to its customers who choose to keep their money on its platform. The generosity is as big that many simply don’t believe it.
The interest rates from major banks is practically zero. But, Celsius network the fintech start up typically makes it possible for their customers to earn a yield of nearly 8.8 per cent or higher. The yield is paid directly into their accounts each week.
The 8.8 percent in yield is something that customers have not heard in recent years. The unbelievable numbers make one wonder if Celsius has messy motives.
Reportedly, some of them have stated, “If you offered me three or four per cent, I would actually give you some pounds. But 8.8 per cent? Come on, it’s obviously a scam. It’s obviously a Ponzi scheme.”
Alex is able to empathize with the skepticism. The market has been forever misdirected and misled for long and it is not easy for people to believe the 8.8% However Alex clarifies that there is no secret to what they are doing at Celsius.
Just like any bank, the company makes money by issuing loans using the money deposited by people. The crypto coins are given as a loan to hedge funds, exchanges and institutional traders. However, Celsius is different from banks in that the big difference is that as opposed to keeping all of their profits, Celsius pays a good chunk if the “high yield” to the customers whose capital made those profits possible.
Alex states, “We’re bringing interest back from the dead.”
This is a very simple and genuine idea – no scam or no hidden agenda. Alex believes this will upend the banking system.
This is not the first time that Alex is disrupting a traditional business model.
Alex, the Ukraine-born entrepreneur had previously disrupted the industry by bringing free voice calls to the masses over the internet this blew the business models of phone companies. And, now it is the banks, which will sense a similar blow by competition.
