Celcius Network motto is “Earn, borrow, & pay on the blockchain”. It’s promises to solve many of the issues of introducing crypto into the banking sector.
The total reward pool was 1000$ and has been splitted in 3 parts.
In this AMA Recap we will try to summarise the most interesting points for you.
Part 1 — introduction and questions from the Telegram & Bitcointalkcommunity
Luis Merino | Satoshi Club: Hello dear community! Welcome to another AMA session with Satoshi Club. Today our guests are from Celsius Network. @HODL_ON, welcome ☺️Hello Zach, how are you today? 🙂
Zach Hello there!Doing well! Thank you so much for making this happen!
Gold Rocket | Satoshi Club Hi there Zach. Thanks again for joining. To be begin with, please tell us a few words about yourselves and how did you get to be involved in Celsius Network.
Serg | Satoshi Club Welcome to Satoshi Club 🙂
Zach Sure. My name is Zach, I live in washington state in the US and I started with Celsius as a regular user in late 2018. I started using Celsius as a way to earn passive income on my crypto
Luis Merino | Satoshi Club What’s your role inside Celsius?
Zach My title is Afilliate manager, but I work directly with community engagement, video content, the Friday AMAs, and other small projects. I love talking with people and am hoping to go to conferences again soon
Gold Rocket | Satoshi Club What is Celsius Network? How do you understand the essence of the project?
Zach Celsius is a platform that holds users assets and pays them very high yield.
We act like how banks should! BTC and many other cryptos have huge demand for borrowing, trading, and other institutional activities. Celsius deployes your coins, collects interest, and pays 80% of the total reveues collected back to the users in the form of weekly in kind or in CEL payment.
Meaning: every week our users get BTC on their BTC, ETH on their ETH, and USDC on their USDC. We ALWAYS act in the best interest of our members
Gold Rocket | Satoshi Club Your motto “Earn, borrow, & pay on the blockchain” promises to solve many of the issues of introducing crypto into the banking sector. Do your users need to pass KYC?
Zach Yes, We are fully compliant with a rules and veryify every user. The goal is to make the money work for you, so you dont have to spend a lifetime working for the money
Q1 from bitcointalk user Saitamana
Borrowing is one of the offerings of Celcius Network and it charges only 1%. Also, one thing that takes my attention is “Borrow Cash While Keeping Your Assets”. How did you manage to charge super low interest rates? When will the collateral be stored?
Zach Great question! So we only do collateralized loans, meaning you must give us 2-4X the amount of collateral in crypto to borrow cash or stablecoins.
We take that collateral and lend it out for additional yield, which lowers the rates for our borrowers and increased the income of our savers
for the 1% loans, you give us $4k as collateral for every $1K you borrow, allowing us to use that $4k to create income
Gold Rocket | Satoshi Club And more attractive than a bank 😉
Zach Much more! Our borrow rates are from 1-9% and our saving rates are from. 3-22%! Well, indeed. Crypto is always more attractive
Luis Merino | Satoshi Club 22%! That’s a lot
Zach We automatically stake coins, and if you earn in CEL we pay a bonus on top of normal staking rewards
Q2 from bitcointalk user george.bend @george_benderos on Telegram
It seems that a staggering 80% of your revenue is given back to the community! In what forms do you give it back? Is 20% enough for your team to be fully operational?
Zach So this is a very common model used on Wall St (80/20 split) This coming monday, we are paying $1.1M to our users a massivee amount!!!!! and the same if not more will be paid next week! This gave the company an income of about $275k/week which is enough to operate the company sustainible and grow!
Luis Merino | Satoshi Club How big your team is?
Luis Merino | Satoshi Club 1.1M what a huge amount!! 👀
Zach we have about 55 eployees and another 60 part time contractors
Zach We encouage everyone here to get their piece of that income!
Luis Merino | Satoshi Club What a big team!!
Luis Merino | Satoshi Club How many devs, community managers…?
Zach about half of our team is Devs. We have a very diverse staff all around the world. We want users to have lifelong income from their crypto holdings. Thats the main goal.
Luis Merino| Satoshi Club Where is your team and project mostly based?
Gold Rocket | Satoshi Club Do you have an office somewhere? Or do you work online?
Zach We have several offices, but do not go there anymore. New York, Britian, amd Isreal
Gold Rocket | Satoshi Club Is it related to covid? Or did you start earlier?
Zach yes, thats when we all started working from home. we also have some remote people like myself that have always worked from home. Very flexable, we encourage your users to look at our open positions, we are hiring!
https://celsius.network/careers
Luis Merino | Satoshi Club You have your own office 😆
Zach Haha my commute is about 5 steps
Q3 from Telegram user @bitcoinistic
Please explain CEL Reward rate (APY) and In-kind Reward rate (APY). For USDT for example. 15.89% 11.55% are the rates. How are they given? Also, please explain who is borrowing money with such a big rate. Are there enough clients?
Zach Another great question. Celsius has a naitive token called CEL that is the liquidity pool of our company. We encouage user to earn in CEL and pay them up to 35% more for doing so, we call this CEL on others. You can also earn BTC on BTC, which comes with the base listed rate and is called in kind
Gold Rocket | Satoshi Club By the way I am interested in one question. Your platform is based on Ethereum. Нow do you solve the problem of high fees on the eth?
Zach you can choose to earn in kind, or in CEL individually for each of the 25+ assets we support. We pay all of the users transaction fees, we never charge fees. when fees got high, some transactions were delayed, but all went through
Q4 from Telegram Username @rioliandaro
What are the main differences between the business model used by traditional banks and the business model you created at Celsius?
Zach They charge their users as much as possible, make as much as they can with customer funds, and pay themselves and shareholders 99% of all value collected. We do the oppisite by only acting in the benefit of the user, charge 0 fees, and pay 80% of everything that is made to the coin holders, not the bosses or shareholders. The bank is taking money from you, and Celsius is putting money in your wallet each week. THATS the big difference
Luis Merino| Satoshi Club Your business model is much better (don’t tell them though…) 🤣
Zach haha The banks earn the same rates we do, they just pay it to themselves instead of the users. why is a savings account less than 1% but a credit card charges 24%? banks keep what in the middle
Gold Rocket | Satoshi Club Do you personally use Celsius network? 😉 which of the services are most convenient for you personally 😃
Zach Absolutely haha, do you mind if I share my total earnings?
Luis Merino | Satoshi Club Share them!! 👀
Luis Merino | Satoshi ClubWhat!!!! Oh my god. 🤣That’s a lot
Zach We had one massive user that has eared much much more 😄 Ill share his too
Zach This was a CEL token whale, and since CEL earns 5% CEL on CEL, the recent appreciation has done amazing for him
Gold Rocket | Satoshi Club Weekly??
Zach no this is a total number
Luis Merino| Satoshi Club And how much did he “invest”?
Zach I am making about $500 a week right now
Zach im not sure
Luis Merino| Satoshi Club Investing how much?
Zach all of this is completely passive, and as crypto becomes more valuble, so does my income
Zach about 15K in inital buys
Luis Merino |Satoshi Club Great APY then 😆
Zach That now pays me 26K per year…. and growing…. forever😁
Zach CEL token has massivly appreciated so this has been amazing
Luis Merino| Satoshi Club I’ll definitely use your platform
Q5 from Telegram Username @julioceazar
Celcius Network is one of the leading platform when it comes to Lending/Borrowing. If I decided to take a loan, How fast will be the whole process and what are the requirements and collateral needed?
Zach Fantastic. Loans are extremely easy, and if taken in stablecoins, can be completed in a few hours. When you hold coins in celsius you earn interest, but those same coins can be locked (no longer earn) and used as collateral for a loan at any time. All we do is lock the requred collateral from your account, and then send you the stablecoins or fiat that you need. its a very simple a easy proccess. all payments are done in the app, and you get a 30% reduction in interest cost if you pay your monthly loan interest in CEL
Luis Merino| Satoshi Club Where can I buy CEL?
Zach Haha we have been carefull to only list on regulated exchages. its only availible on Liquid exchange, and then uniswap, Totle, and other DEXs. I have quite a bit myself and plan to hold long term. CEL now pays all of my bills 😌 It earns 5% anually A note id like to add. We earn all of our income and its not paid by investors so our rates are always fluctuating. this allows us to remain sustainable long term. we only can pay what we earn. no investors subsidizing the rates
Gold Rocket | Satoshi Club Do you have a mobile app?
Zach Yes, we are 100% on mobile right now, but moving to desktop as well next year. Join Celsius Network using my referral code Zachary742d when signing up and earn $20 in BTC with your first transfer of $200 or more! #UnbankYourself
https://celsiusnetwork.app.link/Zachary742d
We offer all new users $20 for making a $200 deposit of any coin and hold it for 30 days
Luis Merino | Satoshi Club Referral link 😉🤣
Zach im the AFFILIATE manager haha! its part of my job 😄
Luis Merino | Satoshi Club Any approximate date for desktop arrival?
Zach Q2 2021
Luis Merino | Satoshi Club Got it! Looking forward to its launch
Gold Rocket | Satoshi BTWClub Satoshi has a 32+ k community. great deal
Zach I hope they all signup and start earning on their coins today!
Q6 from Telegram Username @KeymerS
months ago there were many rumors that Celsius Network would close with the large amount of capital invested, generating insecurity in users, but can Celsius really easily shut down overnight? Or are there certain smart contracts that guarantee the security of the capital of the users? (hypothetically speaking)
Zach The rumors were complete lies, we had been hosting an investment round for months and raised 22.5M in an equity offering during that time. IF Celsius were to shutdown for any reason, all coins would be returned to the users. We are also huge on transparency and share just about everything, take a look at our community page in the app
Zach All of this info is availible to every user
Luis Merino| Satoshi Club Oh my god! Huge numbers 😳
Gold Rocket | Satoshi Club We wish you success. Sometimes you need to talk about such things. Zach We are a profitable company thats growing fast, we arent going anywhere haha
Luis Merino| Satoshi Club Not going to the moon? 👀🚀
Zach haha well if you look at $CEL…. its going there now
Part 2 — live questions from the Telegram community
Q1 from Telegram user @solankinishu
Will CEL token see any benefit from partnerships with companies like LINE and Bitwala?
Zach Yes! They will be giving us assets to manage, all of that powers the flywheel and increases the value of CEL
Q2 from Telegram user @yzmoney
celcius, being one of the more establish lending platform. How does celcius pivot itself against the current hype of Defi ? what is the advantage of Celcius against other competitors?
Zach Absolutely, we have about 7% of the total assets deployed in DeFi to earn those amazing returns. Thats why we are now paying 11.55% on stablecoins and 7.05% on ETH, where else do you see such high rates?
Q3 from Telegram user @yyo654 / Jack
What is the most ambitious goal of the project? I would appreciate it if you could share with us any upcoming updates? What should the community look for?
Zach The main goal of the company is to bring passive income to 1B people around the world, allowing them to be financially free
Q4 rom Telegram user @Ravi2139 / bullen
HOW you can pay 100% times which a bank pays for most of people they Will consider this ponzi schemes only? Can you tell us how whole ecosystem of Celsius work??
Zach The banks earn 16-21% of their total assets. The REAL question you have to ask, is why is the bank making money from YOUR money and paying you next to 0?
Q5 from Telegram user@Sangkaima / ๖ۣۜSαηɠ – Crypto Trader
How do you plan to promote about your project in different countries? where English is not spoken very well. Do you have a local community so they can understand your project? @HODL_ON
Zach We have an ambassador program that invites anyone in the world to share what we do, create content in any language, and bring income to your friends and family
Q6 from Telegram user @BboyForteVZLA YMBB
Why should we choose CELSIUS NETWORK? What benefits does this bring that other similar platforms do not have? What are the advantages that lie ahead that differentiate your project from your competitors?
Zach We always act in the best interest of the user, unlike your bank that acts in the best interest of the management and shareholders
Q7 from Telegram user @BboyForteVZLA
Why did you choose ERC-20? There are more networks in which they have a network rate much lower than this one, such as BEP-2, TRC-20 etc … What benefits does the ERC-20 network have that the others do not?
Zach ERC 20 was a great standard that allowed us to fit the market, be flexable, and operate securley
Q8 from Telegram user @BboyForteVZLA
One of the most important things that users see before depositing their funds to a wallet to send payments to people, friends etc … is security. What is special about your CELPAY security? How safe is it to send payments to other people without fear of being hacked?
Zach Security is Celsius’s #1 and #2 priorities, we understand thats the most important and we put a ton of resources in protecting user assets. CelPay is all done within our protected system from user to user and soes not bring any increased risk to make payments
Q9 from Telegram user @lv_nlv / L Valerievna
Do you in the future plan to allow us to get a loan based on our total wallet assets instead of a single coin assets?
Zach Yes! Multi collateral loans should be availible Q1 next year, allowing you to borrow against the sum of all your assets held in the wallet
Q10 from Telegram user Jack 🚀/ @regard94
How can we verify and track the assets that Celsius Network is holding?
Zach You can veryfy ALL of our holdings on chain and links to our wallets are on our website celsius.network. Thank you so much for having me! this was great!
Part 3 – Quiz Results
In the final part we tested your knowledge in terms of Celsius Network. They’ve prepared 4 questions for this part. The total reward pool for quiz was 600$.
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