Cryptocurrency staking and lending platform Celsius may have dealt with rumors of a liquidity crunch by withdrawing $247 million worth of Wrapped Bitcoin from Aave and listing it on the thFTX exchange.

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Speculation among the crypto community is currently heating up as the project is moving massive amounts of WBTC, ETH and other crypto assets in addition to pause output for users.

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Celsius users have criticized the platform for how they believe the project mishandled its funds following the collapse of the Anchor protocol on the blockchain now called Terra Classic. The project may address these issues with recent steps to stabilize liquidity.

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Some believe that if Celsius fails, it will sell off its sizable ETH (stETH) stack, further lowering the pegging to ETH. stETH is a token provided by the Lido DeFi lending platform that is provided as proof that a user has staked ETH. It is currently trading around 4.4% lower than ETH.

The unusual movement of tokens began around 6:00 pm ET on June 12 from the main Celsius DeFi wallet when it began. removal WBTC from the Aave staking and lending platform that Celsius used to earn interest on his deposits.

So far, 9,500 WBTC tokens have been redeemed from Aave, worth about $247 million. After a series of transactions, all these tokens were sent to the FTX exchange for an unknown reason.

In addition to WBTC, 54,749 ETH were sent to FTX, worth about $74.5 million.

While such activity does not bode well for Celsius’s transparency until it explains the moves, the firm may be trying to ensure its liquidity is stable by replacing many of the volatile funds, such as the WBTC and ETH it pulled from Aave, with stablecoins.

Since June 12, Celsius has staked 204 million USDC stablecoins on Aave. He also invested $10 million plus about 8.2 million DAI stablecoins in Compound, another DeFi staking and lending platform.

The total of 222 million stablecoins re-stakes by Celsius is almost equal to the value of the removed WBTC tokens, but still does not come close to the combined value of WBTC and ETH.

The plans of the Celsius team regarding the relocated cryptocurrencies are still not clear. There is a real possibility that he could sell the assets sent to FTX, but another plausible option is that he intends to stake the tokens they send to the exchange to generate income.

At the time of writing, Celsius sent 9,500 WBTC, 54,749 ETH, 375,343 FTT worth $10 million, 2,455 MATIC ($1,158), 260,000 UNI ($1 million), 2 million Pax Dollars (USDP) and 300,000 stablecoins TrueUSD (TUSD). on FTH. However, by 11:00 PM ET, token movements were still happening.

Currently, Celsius users may be biting their nails with worry because the platform has put withdrawals on hold to “put Celsius in a better position to meet its withdrawal obligations over time,” according to ad from the project on June 13th.

“We work with a single goal: to protect and preserve assets in order to fulfill our obligations to customers.”

In May, Cryptooshala reported that Celsius CEO Alex Mashinsky shifted the blame for the platform’s problems, including rumors of insolvency, to shady Wall Street opportunists.

Bitcoin Price Drops to Lowest Since May as Ethereum Market Trades 18.4% Loss

Crypto investors are largely unimpressed with the new FUD round coming from Celsius. The total capitalization of the cryptocurrency market over the past 24 hours has fallen by 7.6% to $1.07 trillion. CEL, Celsius’ native token, has fallen over 60% to $0.15 in the last 12 hours. All prices indicated in the article are taken from the price tracker CoinGecko.