Type of Business: Cryptocurrency Financial Services
Region: UK/North America
Celsius Network, the leading cryptocurrency saving, lending and borrowing platform, is upending the banking industry with their revolutionary business model for cryptocurrencies. The company addresses global financial needs by providing high interest income and low cost lending through the Celsius Wallet mobile app.
The company was built on the belief that financial services should only do what is in the best interests of its community. Celsius provides high yield interest bearing accounts and low interest rate loans, curated financial services that are not available through traditional financial institutions.
Celsius’ mission and mandate is to be a financial disruptor on a global scale by bringing the next 100 million people into cryptocurrency. The vision is simple: people can deposit their cryptocurrency, earn interest, take cash loans against it, and use it in new ways in the future. It's exactly the opposite of what current global banking structure looks like.
“Banks serve one master: shareholders. Their fees are profit centers, overdrafts alone generated over $30 billion - BILLION - in fees in the US annually, from people who ran out of money, the least fortunate. And profits are taken from people who lend the banks our hard-earned money, and we earn nothing back from the banks.” Liz Rabban, EVP of global business development at Celsius Network, explained: “I believe that decentralized finance is the future of financial services for everyone, and that it will be as mainstream for people to hold crypto as it is for them to have the currencies of their country. To get there we need three things: to earn trust, to provide real value, and to make it easy and user friendly. Celsius and our partners are working every day to provide these, and our growth attests to our mission.”
Founded in 2017, Celsius Network takes an unprecedented approach to crypto banking by sharing 80% of its revenues with their customers in the form of weekly interest payments. Clients can earn up to 10% interest on stable coins and other cryptocurrencies. They can also borrow USD against their cryptocurrency collateral at interest rates as low as 4.95% APR, some of the lowest borrowing interest rates on the market. There are no fees for these services.
As a crypto wallet, Celsius knew that choosing the right custodian was a critical component for building trust. They began the search by putting together a list of requirements that included security, sophistication of product, and ease of use. After evaluating several custodians, Celsius selected BitGo for Custody.
Celsius Chief Technology Officer CTO Nuke Goldstein said: “The maturity of the BitGo platform was crucial because it allowed us to build a great product and we were able to automate everything. In terms of security and functionality, BitGo provides more robustness and flexibility than anyone else we evaluated. Finally, BitGo’s technical support is extremely helpful and responsive.”
“We were looking for the best in class custodian and that was clearly BitGo,” Rabban said. “BitGo delivered the security, reliability, and trustworthiness that we wanted. We were also looking for a partner with a great reputation and high brand recognition. When people know that BitGo is our custodian, it’s a comfort zone for them.”
Benefits of BitGo Custody:
• Regulated custody through BitGo Trust Company
• $100 million in insurance protections
• Institutional-grade policy controls
• 100% cold storage technology in bank-grade Class III vault
• Broad support for coins, tokens, forks, and airdrops