The crypto-based lending and saving app, Celsius has launched gold support on its platform, Tether Gold (XAU) which is specifically used to fund the network’s new gold capacity.
Users holding the new asset in their Celsius wallets will be able to earn 3 per cent interest per year on their Tether Gold, according to a press release.
Celsius was launched in 2018 with the state objective of “[acting] as a global financial disruption catalyst,” and also offering interest accounts on a healthy variety of cryptoassets. Additionally, with several cryptoassets held in collateral, users can procure cash (dollar) loans from the platform.
Tether Gold launched in early 2020 and quickly became the leading gold-backed crypto after Bitfinex launched on its platform margin-trading of the asset.
The new capacity of Celsius could make a sweet deal even sweeter, since gold (XAU) has generally been on a tear in recent months. Yesterday, CryptoGlobe reported that the renewed interest in gold is not dying, as some analysts have become concerned that the extensive monetary and, perhaps, fiscal support needed to stabilize the global economy following COVID-19 will spur inflation.
Gold is currently trading at $1,700, just about 13 percent off its all-time high at $1,920 in September 2011. Since October 2018, we’ve seen a pretty consistent gold uptrend; given the circumstances, it’s a strong case for that high’s retest.
Cryptolydian reported earlier that, Celsius Network has topped 50,000 Bitcoin (BTC) in deposits, worth more than $380,000,000, since its launch back in August of 2018.
With over 100,000 active users of its app, growth in the company is now on track to outperform 60 percent in 2019.
Alex Mashinsky, Celsius Chief Executive Officer, said he believes that the growth of the network user base and deposits “reflects the increasing unease with the results of the 2008 and 2020 bailouts”.