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Welcome to the NEW Crypto for Advisors Newsletter

Digital assets and crypto are rapidly changing the investing landscape. We’re here to help financial advisors find their way.

Danışmanlar için Kripto değişiyor. Ben Sarah Morton, bu haber bülteninin yeni editörüyüm. Gelişen kripto ekosisteminde devam eden bir yolculukta beni tur rehberiniz olarak düşünün. Müşterilerin sorduğu acil soruları yanıtlamanın yanı sıra zamanında, alakalı ve düşündürücü içerikler düzenlemek için buradayım. Ama önce: Neden ben?

Kripto dünyasına öğrenme yolculuğum altı yıldan uzun bir süre önce başladı. Blockchain teknolojilerine ve şimdi finans sektörü için yeni dijital para (“kripto” olarak da bilinir) dediğimiz şeyin yönlendirdiği yeni fırsatlar beni cezbetti. Bu yolculuk beni, müşterilerin kripto ve dijital varlıklara yatırımla ilgili sorularını yanıtlarken karşılaştıkları zorlukları anlamak için danışmanlar, finans uzmanları ve çeşitli dijital varlık topluluğu oyuncularıyla her gün çalıştığımız MeetAmi Innovations’ın kurucu ortağı olmaya götürdü.

CoinDesk’in finansal danışmanlar için dijital varlıkları ortaya çıkaran haftalık haber bülteni olan Crypto for Advisors’ı okuyorsunuz . Her Perşembe almak için buradan abone olun .

There is no question that current and next-generation investors are interested in digital assets (cryptocurrencies, tokens, smart contracts, and other digital representations of value). Just yesterday, BlackRock CEO Larry Fink suggested: “Bitcoin could revolutionize finance.” If he’s right, it would amplify demand from investors (recently surveyed by BCG) and their financial advisors for guidance on how to think about investing in this emerging asset class. And it’s not a simple answer.

Recent news adds to the complexity. In just the past couple of months

A recent Coinbase study showed that over 50% of Fortune 100 companies have started crypto, blockchain and Web3 projects. Such studies raise bigger questions like: How will these advancements affect digital assets? How will advisors navigate the complexities and rapidly changing nature of digital assets?

Advisors have a significant opportunity to support today’s clients and meet the needs of the next generation of investors – as long as they have a roadmap to navigate the digital-asset landscape.

This newsletter is here to help point the way. Each week Crypto for Advisors will share thought leadership from the industry, answer common and pressing questions from clients, and point to resources to better understand this rapidly evolving asset class.

If you have questions for our advisor network – or have topics you’d like to see covered – simply reply to this email, and we’ll try to answer them in future newsletters.

Thanks for subscribing – your readership means a lot to us.

Ask an Advisor

I educate financial advisors about digital assets. Here are the three most common questions they ask about digital asset investing.

– Adam Blumberg

Q: Is investing in digital assets secure? I’ve heard of people losing all their money.

A: It can be secure if you know how to hold the assets and do your homework regarding custody.

Digital assets and crypto are based on self-custody, meaning I hold my own assets in my own wallet(s).

However, we often use centralized custodians – such as an exchange – to hold assets for ourselves and clients, as they take on much of the technology’s heavy lifting. For both you and your clients, it’s important that you research the custodian to ensure they don’t commingle assets and are solvent.

Q: Do digital assets have real value?

A: Each crypto asset has its own value proposition and investment thesis. For example, bitcoin is often viewed as a hedge against inflation, government and banks. Ether is used to run applications on the Ethereum network. Other tokens derive their value from cash flows.

Advisors should understand some of the investment theses and value drivers of various crypto assets to properly evaluate them for client portfolios.

Q: What are the risks of investing in digital assets?

A: We’ve already talked a bit about custodial risk. Cryptocurrencies are also volatile, which poses allocation risks in client portfolios, especially with clients who may need liquidity. Many of the projects and protocols the tokens represent carry their own risks, which can be deeply technical and complicated to understand.

We don’t expect advisors to evaluate all the risks on their own, and we’re seeing more models and services which help determine crypto-asset risks as they relate to client portfolios.

Adam Blumberg is the co-founder of Interaxis, a company dedicated to educating financial professionals about digital assets.

Keep Reading

News of impending rejection from the SEC over language concerning surveillance agreements have led to a wave of updated refilings

Bitcoin ETF’leri geliyor mu? SEC, başvuranlardan netlik talep etti, ancak “hayır” demedi.

Finansal Hizmetler ve Piyasalar Yasası, Kral Charles tarafından Kraliyet Onayını vererek, kripto ticaretini Birleşik Krallık’ta düzenlenmiş bir finansal faaliyet haline getirdi.

Birleşik Krallık, sabit paralar ve kripto para birimleri için yasalar uyguladı. Hangi ülkeler bu çerçeveyi takip edecek ve ne öğrenebiliriz?

Y Kuşağı olarak tehlikede olan 84 trilyon dolarlık servet transferi, X Kuşağı kriptolara bakıyor: BofA çalışması

Nesiller arası zenginliğin en büyük transferi, Web3 ortaya çıkarken gerçekleşiyor. Yeni nesil yatırımcıların ihtiyaçlarını karşılamak istiyorsanız, dikkate alınması gereken çok şey var.

Merhaba arkadaşlar, bugün sizlere Prizmabet adlı bir bahis sitesinden bahsedeceğim. Prizmabet, Betconstruct altyapısı ile üyelerine kaliteli hizmetler veren ve ülkemizin önde gelen bahis sitelerinden bir tanesidir. 2009 yılında kurulan Prizmabet, lisanslı, güvenilir ve avantajlı bir site olarak dikkat çekmektedir. Prizmabet’te spor bahisleri, canlı bahisler, casino, canlı casino, slot oyunları, sanal sporlar ve daha pek çok seçenek bulabilirsiniz. Prizmabet’te oyun oynamak için aradığınız ortamı fazlası ile bulacaksınız.

Prizmabet’in en önemli özelliklerinden biri de Prizmabet TV kanalıdır. Bu kanal sayesinde bahis sitesinde bulunan müsabakaları üyeler bir ücrete katlanmadan istedikleri zaman takip edebiliyor. Böylece hem heyecanlı hem de kazançlı bir bahis deneyimi yaşayabiliyorsunuz. Prizmabet TV kanalında futbol, basketbol, tenis, voleybol gibi popüler spor dallarının yanı sıra daha az bilinen sporlara da yer verilmektedir. Prizmabet TV kanalını kullanmak için sadece siteye üye olmanız ve yatırım yapmanız yeterlidir.

Prizmabet ayrıca üyelerine bol miktarda bonus ve promosyon da sunmaktadır. Prizmabet’te ilk üyelik bonusu olarak 100 TL deneme bonusu alabilirsiniz. Bunun yanında yatırım bonusları, kayıp bonusları, arkadaş davet bonusu, doğum günü bonusu gibi farklı bonuslar da mevcuttur. Prizmabet bonusları sayesinde daha fazla oyun oynayabilir ve kazancınızı artırabilirsiniz. Prizmabet bonuslarının çevrim şartları da oldukça makul seviyededir.

Prizmabet para yatırma ve çekme işlemleri konusunda da üyelerine kolaylık sağlamaktadır. Prizmabet’te banka havalesi, kredi kartı, papara, cepbank, QR kod, bitcoin gibi farklı yöntemlerle para yatırabilir ve çekebilirsiniz. Para yatırma ve çekme işlemleri 7/24 yapılabilmekte ve kısa sürede hesaplara yansımaktadır. Prizmabet para yatırma ve çekme işlemlerinde herhangi bir komisyon veya kesinti de yapmamaktadır.

Prizmabet müşteri hizmetleri de üyelerine 7/24 canlı destek hizmeti sağlamaktadır. Prizmabet canlı destek ekibi sayesinde site ile ilgili her türlü soru, sorun veya önerinizi iletebilir ve anında çözüm bulabilirsiniz. Prizmabet canlı destek ekibi profesyonel, güler yüzlü ve yardımseverdir.

Sonuç olarak, Prizmabet ülkemizin en iyi bahis sitelerinden biri olarak gösterilebilir. Prizmabet’te hem eğlenceli hem de kazançlı bir bahis deneyimi yaşayabilirsiniz. Prizmabet’e üye olmak için güncel giriş adresini web sitemizden bulabilirsiniz. Prizmabet’e girmek için tıklayınız! Prizmabet’e katıldığınıza pişman olmayacaksınız!

Ethereum Staking Needs Its (Honest) LIBOR #prizmabet

A standardized ETH staking benchmark could unleash a new generation of financial products that appeal to TradFi.

In any industry, standardization drives scale. Ethereum’s transition last year to proof of stake (PoS) unlocked an exciting opportunity to create a benchmark that tracks staking yields, which could serve as the basis for financial products that track this rate.

Under PoS, Ethereum block validators, also known as stakers, lock up a portion of their ether (ETH) as collateral to participate in the network’s consensus mechanism. In return for their participation, stakers earn rewards in the form of new protocol emissions and transaction fees.

To fully achieve the promise of this innovation, a standardized benchmark can be produced by capturing and publishing the daily, annualized mean of on-chain rewards across all validators. It would be difficult to manipulate because of the inherent transparency, replicability and immutability of the blockchain – in contrast, say, to the infamously manipulated LIBOR benchmark that powered traditional finance (TradFi) credit markets for years.

Based on a preliminary analysis of how such a benchmark would behave,

average protocol emissions appear to trend downward as new validators come online. But it’s clear that the rate skyrockets with material increases to network activity resulting from a flight to safety (FTX’s insolvency) or new network activity (the recent PEPE göğüs coin frenzy).

A standardized ETH staking rate will provide immediate utility as:

As a benchmark, an ETH staking rate would work similarly to traditional instruments like overnight index swap (OIS) rates – delivering reference rate utility to market participants. From new crypto-native Sharpe ratios to pricing benchmarks, a standardized ETH staking rate can be used to discount future cash flows – letting investors better assess the present value of their investments in the Ethereum ecosystem.

A standard staking rate would form the underpinning of an important new tool for risk transfer. Interest among natural hedgers, especially validators, and prospective speculators will result in the inevitable formation of a forward curve resulting in swaps, futures and other derivatives. Basis swaps with traditional rates or cross-currency swaps with fiat currencies could provide an interesting new crypto rate onramp, while also allowing structured products to proliferate.

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A new staking rate could unlock the next generation of financial products while serving as a building block of Ethereum’s monetary policy. As such, CESR represents an important development in the evolution of the Ethereum ecosystem and a new frontier for innovation in the world of decentralized finance and beyond.

NOTE: CoinFund recently announced that it had partnered with CoinDesk Indices to launch CESR, a composite ether staking rate.

Edited by Nick Baker.

Merhaba arkadaşlar, bugün sizlere Prizmabet isimli bir bahis sitesinden bahsedeceğim. Prizmabet, Betconstruct altyapısı ile üyelerine kaliteli hizmetler veren ve ülkemizin önde gelen bahis sitelerinden bir adedidir. 2009 yılında kurulan Prizmabet, lisanslı, emniyetli ve avantajlı bir site olarak dikkat çekmektedir. Prizmabet’te spor bahisleri, canlı bahisler, casino, canlı casino, slot oyunları, sanal sporlar ve daha pek çok seçenek bulabilirsiniz. Prizmabet’te oyun oynamak için aradığınız ortamı fazlası ile bulacaksınız.

Prizmabet’in en değerli özelliklerinden biri de Prizmabet TV kanalıdır. Bu kanal sayesinde bahis sitesinde bulunan karşılaşmaları üyeler bir fiyata katlanmadan istedikleri vakit takip edebiliyor. Böylelikle hem heyecanlı hem de yararlı bir bahis tecrübesi yaşayabiliyorsunuz. Prizmabet TV kanalında futbol, basketbol, tenis, voleybol üzere tanınan spor kısımlarının yanı sıra daha az bilinen sporlara da yer verilmektedir. Prizmabet TV kanalını kullanmak için yalnızca siteye üye olmanız ve yatırım yapmanız kafidir.

Prizmabet ayrıyeten üyelerine bol ölçüde bonus ve promosyon da sunmaktadır. Prizmabet’te birinci üyelik bonusu olarak 100 TL deneme bonusu alabilirsiniz. Bunun yanında yatırım bonusları, kayıp bonusları, arkadaş davet bonusu, doğum günü bonusu üzere farklı bonuslar da mevcuttur. Prizmabet bonusları sayesinde daha fazla oyun oynayabilir ve çıkarınızı artırabilirsiniz. Prizmabet bonuslarının çevrim kuralları da epeyce makul düzeydedir.

Prizmabet para yatırma ve çekme süreçleri konusunda da üyelerine kolaylık sağlamaktadır. Prizmabet’te banka havalesi, kredi kartı, papara, cepbank, QR kod, bitcoin üzere farklı tekniklerle para yatırabilir ve çekebilirsiniz. Para yatırma ve çekme süreçleri 7/24 yapılabilmekte ve kısa müddette hesaplara yansımaktadır. Prizmabet para yatırma ve çekme süreçlerinde rastgele bir komite yahut kesinti de yapmamaktadır.

Prizmabet müşteri hizmetleri de üyelerine 7/24 canlı dayanak hizmeti sağlamaktadır. Prizmabet canlı dayanak grubu sayesinde site ile ilgili her türlü soru, sorun yahut teklifinizi iletebilir ve anında tahlil bulabilirsiniz. Prizmabet canlı dayanak takımı profesyonel, güler yüzlü ve yardımseverdir.

Sonuç olarak, Prizmabet ülkemizin en güzel bahis sitelerinden biri olarak gösterilebilir. Prizmabet’te hem eğlenceli hem de yararlı bir bahis tecrübesi yaşayabilirsiniz. Prizmabet’e üye olmak için aktüel giriş adresini web sitemizden bulabilirsiniz. Prizmabet’e girmek için tıklayınız! Prizmabet’e katıldığınıza pişman olmayacaksınız!

As Crypto Grows, so Does CoinDesk’s Commitment to Keeping Pace #prizmabet

A new CoinDesk tool called the Bitcoin Trend Indicator can help traders spot where BTC is headed.

Proximity to information and access to new tools is one of the things that I value most about being at CoinDesk. Each day there’s cutting-edge access to news and early looks at tools that we as a firm are looking to bring to the marketplace.

The new Bitcoin Trend Indicator (BTI) from CoinDesk Indices is useful for investors, specifically those looking to employ systematic, non-discretionary strategies. Successful and timely identification of trends in price movements is paramount to any active investing strategy – and that’s something BTI appears to deliver.

While this new tool might not be so useful for investors engaging in a long-term, buy-and-hold strategy, for those with a tactical bent – a penchant for entering and exiting positions quickly – it’s got significant value. It should work well in tandem with watching seasonality, which is particularly important following the crypto winter markets endured for much of 2022.

You’re reading Crypto Long & Short, our weekly newsletter featuring insights, news and analysis for the professional investor. Sign up here to get it in your inbox every Wednesday.

As a practitioner of technical analysis, I view visual identification as a tried-and-true method of identifying trends. You pull up a chart, observe the extent to which prices are moving and apply trend lines to provide a graphical outline of those trends. They can effectively be used to identify and project the direction of an asset’s price movement, with breaks below or extensions above being instances worth noting.

Candidly, a degree of subjectivity exists when drawing trendlines. Where I draw my trendline may be completely different from where a colleague draws one. Methodology can vary as well. Where one may connect trend lines at an asset’s closing price, another may draw the trendline at its high or low price for the day.

This is not meant to call into question the practice itself, but to highlight potential variations in the analysis of identical data. From my vantage point, it’s no less subjective in nature than picking one valuation multiple over another when performing fundamental analysis.

Historical price data can be used to identify seasonality and trends as well. Past pricing data can be separated into buckets related to time, and used to identify patterns.

Investors can also narrow the time period of evaluation to a more recent time frame to evaluate the extent to which performance may have shifted.

Of note in 2023 is the somewhat sporadic monthly returns, with underperformance in February and April, surrounded by outperformance in January and March. The lack of a discernible trend in instances like this highlights the need for objective, quantitative-based tools to evaluate trends. As crypto matures and the base of crypto investors widens, so, too, will the need for tools that strip the emotion out of allocation decisions. CoinDesk’s Bitcoin Trend Indicator can do that.

In a nutshell, the BTI identifies the “presence, direction and strength of momentum in the price of bitcoin.” It is calculated daily at 4 p.m. ET (20:00 UTC at this time of year), using prices from the CoinDesk Bitcoin Price Index (XBX), our BTC benchmark.

The five BTI signals, (color coded for clarity from red to green) are significant downtrend, downtrend, neutral, uptrend and significant uptrend.

A look into its methodology shows that a series of moving average crossovers are utilized within four distinct crossover windows of varying lengths. Exponential weighting is used to fully capture the importance of more recent prices.

A backtest of the BTI shows it identified an uptrend in October 2020, before BTC jumped to $40,000 from $10,000. From a risk management vantage point, it also identified movement to “neutral” from “uptrend” in May and November 2021, before substantial drawdowns.

A missed signal can be seen in late March 2022, when the BTI signaled an uptrend before a 59% drop through June. It’s also worth noting, however, that while the uptrend was identified on March 28, the BTI identified a neutral signal on April 8 and a downtrend signal on April 10.

There is no Holy Grail indicator, so I expect other false signals. I find comfort seeing that the BTI has demonstrated an ability to quickly adapt to a changing landscape however.

I would encourage all who are reading this to give the BTI a look, particularly those who are looking to build systematic, non-discretionary strategies.

Give it a try, poke holes in it, completely ignore any bias that I may have towards it and see how it fits into your own investment process. Feel free to let us know how you feel as well, whether positively or negatively. Feedback can be the lifeblood of improved processes.

Our goal at CoinDesk is to constantly provide products and services that add value to your own.

– Glenn C. Williams Jr., CMT

Takeaways

From CoinDesk Deputy Editor-in-Chief Nick Baker, here’s some news worth reading:

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To hear more analysis, click here for CoinDesk’s “Markets Daily Crypto Roundup” podcast.

Edited by Nick Baker.

Fallout 4’ün Güncellemesindeki New Vegas Ayrıntısı Başları Karıştırdı

Valve yeni bir trend başlatmış olabilir

Her şey, Valve’ın “cs2” güncellemesi ile başladı…Oyun belgelerini yakından takip eden oyuncular, artık de Fallout 4’ün yeni güncellemesinde farklı ayrıntılar keşfetti. Fallout 4’e gelen yeni güncellemede bulunan “New Vegas 2” referansları, pek çok oyuncunun başını karıştırmış durumda.

SteamDB üzerinden basitçe erişebileceğiniz Fallout 4 sayfasında, oyunun alternatif versiyonlarını ya da beta türevlerini görebiliyorsunuz. İşte bu güncelleme ile gelen”New Vegas 2″ güncellemeleri, şu anda internetin ilgisini çekmiş durumda. Buna ek olarak şu anda kilitli görünen “beta2” kısmı de dikkatleri çekiyor.

Obsidian CEO’su Bir Fallout Oyunu Daha İstiyor

Biliyoruz, hepimiz o hoş haberi duymak istiyoruz. Lakin bu güncelleme, sandığımız üzere New Vegas 2’nin habercisi olmayabilir. Zira biraz araştırma yaptıktan sonra aslında bu “beta2” kısmının, Fallout 4’ün yeni kuşak versiyonuna ilişkin olabileceğini öğrendik. Buna ek olarak “newvegas2” evrakları da bahsi geçen yeni jenerasyon güncellemesi içerisinde kullanabileceğimiz Creation Club içeriklerine ilişkin olabilir.

Yine de çabucak yüzümüzü asmaya gerek yok. Bethesda’dan an itibariyle bahis hakkında bir açıklama gelmedi. Ayrıyeten Obsidian’ın da, New Vegas’a kapıyı kapatmadığını biliyoruz. Güzeli…

Prizmabet’in en kıymetli özelliklerinden biri de Prizmabet TV kanalıdır. Bu kanal sayesinde bahis sitesinde bulunan karşılaşmaları üyeler bir fiyata katlanmadan istedikleri vakit takip edebiliyor. Böylelikle hem heyecanlı hem de çıkarlı bir bahis tecrübesi yaşayabiliyorsunuz. Prizmabet TV kanalında futbol, basketbol, tenis, voleybol üzere tanınan spor kollarının yanı sıra daha az bilinen sporlara da yer verilmektedir. Prizmabet TV kanalını kullanmak için yalnızca siteye üye olmanız ve yatırım yapmanız kafidir.

Prizmabet para yatırma ve çekme süreçleri konusunda da üyelerine kolaylık sağlamaktadır. Prizmabet’te banka havalesi, kredi kartı, papara, cepbank, QR kod, bitcoin üzere farklı metotlarla para yatırabilir ve çekebilirsiniz. Para yatırma ve çekme süreçleri 7/24 yapılabilmekte ve kısa müddette hesaplara yansımaktadır. Prizmabet para yatırma ve çekme süreçlerinde rastgele bir kurul yahut kesinti de yapmamaktadır.

Prizmabet müşteri hizmetleri de üyelerine 7/24 canlı takviye hizmeti sağlamaktadır. Prizmabet canlı dayanak takımı sayesinde site ile ilgili her türlü soru, sorun yahut teklifinizi iletebilir ve anında tahlil bulabilirsiniz. Prizmabet canlı dayanak takımı profesyonel, güler yüzlü ve yardımseverdir.

NovaWulf Plans to Tokenize Equity of Celsius’ New Firm With $2B Assets, After Takeover

Celsius Network contacted 130 interested parties and signed confidentiality agreements with 40, before choosing NovaWulf.

Digital asset investment firm NovaWulf is poised to take over all assets belonging to bankrupt crypto lender Celsius Network and roll them into a new company, once its creditors have been paid out.

NovaWulf will manage the new company for five years, which will have a new name and a new board of directors, and will be traded through a fairly untested method of putting tokenized equity on blockchain. The five-year management term can be renewed. The board of directors will be chosen by NovaWulf and the official committee of creditors, which represents their interests in the bankruptcy. The plan could take effect as soon as June 30.

NovaWulf has committed $45 million in the transaction, but the Celsius assets it will manage could be worth as much as $2 billion, according to Marc D. Puntus, co-head of Centerview Partners, the investment banker working with Celsius during the bankruptcy case. The assets in question include Celsius’s mining unit, its loan portfolio, staked cryptocurrency, and other alternative investments, according to court filings.

However, the team will have a big task ahead of it – turning around one of the most spectacular collapses in crypto history. The leadership sees the bankruptcy process as a way to turn over a new leaf, and then some.

“What I’m really most excited about is the flexibility to be in a position to play offense, when you have an entire industry that’s playing defense,” given that major crypto firms are either in bankruptcy or facing regulatory scrutiny, said NovaWulf co-founder and managing partner Jason New.

Celsius contacted 130 interested parties and signed non-disclosure agreements with 40, before choosing NovaWulf, according to filings.

NovaWulf is related to TeraWulf (WULF), a publicly traded mining company. The two firms share their two co-founders, who don’t have any formal executive roles at NovaWuf, only in the miner – Nazar Khan, who is also the miner’s chief operating officer and chief technology officer, and CEO Paul Prager. NovaWulf’s team has had experience with complicated bankruptcies such as Lehman Brothers.

Tokenized equity

The tokenized equity of the new company will be traded on-chain and outside of stock exchanges. It will however have to follow SEC disclosure rules, which should make its workings more transparent. Just a month before Celsius filed for Chapter 11, industry commentators were disapproving of its opacity.

The equity tokens will be sold on the Provenance Blockchain, according to a presentation filed with the bankruptcy court. Figure Technologies will also provide infrastructure for the tokenized securities.

General earn creditors, with claims below $5,000, will see 70% recovery of their claims in liquidy crypto, the presentation said. Up to 100% of the rest of the assets, minus what is needed to run the new company, will be dispersed to earn creditors with claims over $5,000, who will also receive tokenized securities of the new company.

Total overhaul

Taking on Celsius’ new chapter requires a certain amount of house cleaning: The new firm will have a new name and none of the pre-bankruptcy leaders will be involved, said NovaWulf’s New.

Celsius’s leadership has been slammed for its risky management online and offline, including in a report from a court-appointed examiner after the bankruptcy.

The mining business was, in former CEO and founder Alex Mashinsky’s view, a way to increase yield on customer deposits, according to the report. By June 2022, Celsius had lent out $579 million in Celsius Mining, its wholly owned subsidiary that was established in 2020, and forwarded another $70 million loan shortly before the bankruptcy, the report said.

Celsius was also using stablecoins bought with user funds as collateral to fund “the entire mining asset,” said CEO Chris Ferraro in a Slack message according to the examiners’ report. The company was doing the same to prop up other parts of its business.

By spring of 2022, some of the company’s senior management thought that an initial public offering (IPO) of the mining business could be used to plug a $1.1 billion hole in its balance sheet, along with the sale of other “non-balance sheet assets.”

But the value of the mining unit dropped from $2 billion to $2.9 billion in August of 2021, to $500 to $700 million at the time of the bankruptcy, meaning even if an IPO or sale had gone through, it likely wouldn’t have sufficed to plug in the balance sheet hole.

Risk management and an overreliance on third parties, known as hosting firms, formed Celsius’s mining’s Achilles heel.

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The new management will look to vertically integrate the mining business, which now counts about 120,000 machines. At least initially, they will be looking for hosting agreements, but a focus will be to set up their own hosting capacity down the line to better control risks and costs.

Asked whether the new firm will be working with TeraWulf for hosting, New said it wouldn’t.

Edited by Nikhilesh De and Aoyon Ashraf.