"Celsius Network" invests $200 million in Bitcoin mining, users will receive a portion of the mining rewards

The centralized lending platform Celsius Network revealed that it recently invested $200 million in Bitcoin mining infrastructure, with platform users being able to receive a portion of the profits. The CEO also commented on the regulatory situation in China.

Celsius Users to Receive Yield from Its $200M Bitcoin Mining Investment

Celsius Network has announced several recent positive marketing initiatives on its official Twitter account, including:

• Investing $200 million in Bitcoin mining
• Supporting new coins: DOT, BNT
• Launching a web version in addition to the existing app
• Credit card waitlist
• Rewards browser set to go live

CEO Alex Mashinsky revealed in an interview that part of the returns from the platform's recent $200 million investment in Bitcoin mining infrastructure will be distributed to users. He stated:

Most of the people in our community hold Bitcoin and they want to earn interest in Bitcoin, so what's better than actually building a Bitcoin factory where we mine Bitcoin, and I can guarantee that the interest that our users will earn will be paid in Bitcoin.

China's Regulation Not Surprising

Mashinsky claimed that he was not surprised by China's crackdown on Bitcoin miners, attributing it to two reasons:

• Eliminating malicious competition
• Protecting CBDC

He mentioned:

Having a lot of Chinese miners leaving will definitely help Bitcoin to become more decentralized, which is good for Bitcoin, but not necessarily for the Chinese people.

Bitcoin to Break $140,000

Despite the cryptocurrency market's crash in the second quarter, Mashinsky remains optimistic about where Bitcoin will reach this year. He mentioned on 6/26:

When Bitcoin goes too high, too fast, a correction is inevitable, you can see that I said the market will correct back in February and March, and I predicted $30,000. Bitcoin is like a spring, we stretched it too far, we added too much leverage, people got too greedy.

However, Mashinsky believes that the market will reach its peak before 2022, with Bitcoin hitting between $140,000 to $160,000 this year, and after sellers profit at six-figure prices, Bitcoin will drop below $100,000.

Previously, Celsius Network was accused of unlimited rehypothecation of user assets, leading custody firm Prime Trust to terminate their partnership. Mashinsky criticized this move, attributing it to a competitive attack from Genesis Trading.