- Celsius just completed another $34 million loan repayment, bringing its liquidation price below $3,000.
- However, the crypto lender has not officially confirmed any of these figures.
- Last month, Celsius halted withdrawals, citing unfavorable market conditions.
Crypto lender Celsius Network repaid an additional $34.43 million in debt to MakerDAO, the DeFi technology powering stablecoin Dai, on July 5 at 17:38 UTC. Nansen’s address, marked Celsius, currently has 21,962.63 Wrapped Bitcoin (wBTC) in collateral and $41.23 million in DAI debt positions.
The refund is their second in the past 24 hours, and Celsius’ liquidation price has fallen to $2,722.11 from over $5,000 yesterday.
The liquidation price indicates the point at which a borrower must add funds to improve its loan-to-value (LTV) ratio. If not, the DeFi lender will liquidate part of the loan collateral to bring the account back to the minimum value.
Although the crypto lender has not officially confirmed these payments, statistics from DeFi Explore show that vault #25977, allegedly owned by Celsius Network, sent loan repayments. A series of repayments began on June 14, with the last payment of $34 million DAI only hours ago at the time of writing.
According to the explorer, yesterday there were transactions of $120 million in units of $6.2 million, $64 million and $50 million DAI.
Celsius used Wrapped Bitcoin (wBTC) as collateral to borrow hundreds of millions of dollars from MakerDAO. Maker allows the minting of the dollar-pegged DAI stablecoin when cryptocurrencies are offered as collateral.
On June 13, Celsius halted withdrawals, transactions, and exchanges for its customers to make room to restore liquidity to the platform. Payment of these debts reduced the risk of liquidating his loan position to Maker. Decentralized financial protocols can automatically liquidate merchants’ collateralized assets when they cannot repay their loans.