Goldman Sachs, one of the largest financial institutions in the world, has begun weighing the possibility of buying assets from a controversial crypto lending company, Celsius Network.
According to available information, Goldman Sachs is reportedly working on a $2 billion financial war chest aimed at the acquisition.
If the deal doesn’t go through, it would likely come at an incredibly discounted price, especially if the company files for bankruptcy — a scenario that seems possible given it just hired a new company to advise it on the bankruptcy filing.
Reports have also emerged that Citigroup and Akin Gump have advised Celsius to file for bankruptcy.
Goldman Sachs has begun collecting stakes across the industry by identifying interested investors and collecting key commitments from them.
The sources added that Goldman Sachs was targeting investors in Web3 crypto funds specializing in distressed assets and traditional financial institutions.
Most of Celsius’s assets would most likely be cryptocurrencies that would be managed by the participating investors.
Celsius was one of the leading cryptocurrency lenders in the space before its issuance with approximately $12 billion in assets under management and 1.7 million users.
At press time, Goldman Sachs has not yet released a statement regarding this development.
Goldman Sachs Survey Shows Insurers Interest In Crypto
A study by Goldman Sachs shows that insurers are warming to the idea of cryptocurrencies. According to the survey, 6% of the 328 Chief Investment Officers and Chief Financial Officers had invested or thought about investing in crypto.
Mike Siegel, Goldman Sachs’ Global Head of Insurance Asset Management and Liquidity, said the research reflects current views of the industry.
In his words,
We had respondents representing more than $13 trillion in assets, which is about half the assets of the global industry. So we think the research is very representative of what the industry thinks.