The Celsius network is a SEC compliant lending platform in which users can receive interest on the cryptocurrencies they deposit or take out loans (crypto collateralized). Celsius is regulated and promises high yields on deposits and, for those who wish to take out loans, the opportunity to access fiat currency without cashing out of their crypto investments.

Celsius system operates with its very own native token CEL. CEL is used for loans, rewards, and payments alike.

Celsius also features a loyalty program in which users are given rewards and discounts as they progress to higher tiers.

Celsius Explained

The Celsius Network operates with four key components working in unison:

1. The Lenders: who are the depositors that earn interest on their holdings.

2. The Borrowers: who are the margin traders that take leveraged positions (short or long). Borrowers can be general users who deposit their crypto and use the funds as collateral for loans, traders who are accredited investors or SEC registered funds with a minimum $10.000 USD balance, or exchanges which are institutions who borrow from lending pools in order to settle trades.

3. The Celsius Platform: which facilitates trading, determines its fees and manages overall risk.

4. External exchange markets: where trades are executed, and liquidity is assured.

The History Behind the Celsius Network

The Celsius Network was created in 2017 by Nuke Goldstein, Daniel Leon, and Alex Mashinsky, a former VOIP engineer. Its 2018 ICO raised and estimate $50 million USD by selling half of its total supply.