The global financial system is wobbling. Banks and other traditional financial institutions have so far managed to survive the crisis resulting entirely from their errors, greed, and arrogance. Now, many believe, they won’t live through the crypto revolution unless they embrace it.
Unfortunately, most institutions are too rigid to accept the new concept, preferring to steer clear of anything crypto and taking comfort in the fact that they are too big to fail. Jamie Dimon, the CEO of JP Morgan, explicitly summed up the prevailing attitude among bankers towards crypto assets. This has resulted in a major inconvenience for investors in digital assets: they cannot use them as collateral to get credit and are forced to give up on investments that might otherwise have brought them additional capital gains.
What’s the solution?
That’s where Celsius steps forward, offering a member-based decentralized solution that will change the consumer credit industry.
Meet the Celsius Wallet – a combination of a digital wallet and a peer-to-peer lending platform where members can earn passive interest on their crypto holdings and use them as collateral to get loans in fiat currencies.
The decentralized, middlemen-free nature of the community will translate into a lower interest rate for borrowers and a higher percent going to lenders, ensuring the mutual benefit of all participants.
The Celsius business model allows cryptocurrency holders to earn five to ten times as much as any traditional bank is willing to offer.
“Why do banks give you 1% interest on your savings account and then turn around and charge you 20% to borrow that same money on your credit card? It’s time to show Wall Street the other side of the coin by building a community that can dictate their own rules for borrowing and lending so that everyone benefits” says Alex Mashinsky, Founder & CEO of Celsius and inventor of VOIP.
How will the system work?
The Celsius Token (CEL) issued in the ICO will be used to pay for access to loans in dollars with digital assets as collateral.
At the same time, members who keep their coins in the Celsius Wallets will earn up to 9% annual interest in CELs as a reward for lending to the network.
Celsius token sale details
The Celsius ICO begins on March 15th and will be live until March 22, so don’t be late if you want to participate. The team is putting 500 million tokens up for sale, which is 50% of the total supply.
They are currently in Presale, which includes a 20% bonus until they hit $35m in contributions. In addition, the price of the token will increase from $0.20 to $0.30 when the Crowdsale begins so early contributors are effectively getting tokens at $0.16 (including the bonus) compared to $0.30 when the public crowdsale begins.
If you’re interested in this ICO, you can visit the official website or follow the project on Twitter and Telegram.