Recently, The Litecoin Foundation is investing its assets into Celsius Network, which is a cryptocurrency lender service that allows its clients to earn interest in crypto investment in the company without applying any extra charges.
Litecoin Foundation is a non-profit organization helping the blockchain technology to grow with the help of its own Litecoin (LTC). According to the reports, the company has decided to go with the Celsius Network as their crypto wallet.
According to Alex Mashinsky, CEO of Celsius Network, this investment will help both LTC and Celsius Network to grow better in the market. LTC is investing a part of its treasury with the Celsius Network. Although the amount invested by the crypto foundation is undisclosed; however, its holders will get an annual amount of nearly 10.53% of their cryptocurrency assets. Apart from that, LTC holders can also expect to receive annual lending of 4.95%.
While talking about the deal, Mashinsky said,
“Litecoin being the first foundation to work with us and endorse us is a real milestone. It’s a huge deal of us. That’s the first time I can say that the general community is recognizing Celsius for the utility it provides.”
Apart from that, Mashinsky said that the company would lend back 80% of its profit back to its clients. This deal shows the confidence of LTC in the network; it will also help both the companies to explore new opportunities and promote the collaboration of LTC and Celsius Network.
Last year, Celsius Network was able to raise $50 million in an initial coin offering. Other than that, in 2019 the company has crossed the $2 billion in loans. This proves the stability of the Celsius Network in the market and this undisclosed treasury sum from the Litecoin Foundation is going to help the Celsius Network to offer better service to their clients.