Offering fixed interest while achieving variable interest in underlying assets carries inherent risks whether Celsius has a shortfall or not.
Crypto Lending services are just like banks in the sense that they pocket a spread. This article is incorrect in the sense that Celsius doesnt have much higher DeFi yield earning opportunities.
I can go fetch a highly volatile 60% right now (the rate is highly volatile but the principle is not necessarily highly volatile), actively managed, and offer users a super competitive 8-12%.
Crypto Lending services are just like banks in the sense that they pocket a spread. This article is incorrect in the sense that Celsius doesnt have much higher DeFi yield earning opportunities.
I can go fetch a highly volatile 60% right now (the rate is highly volatile but the principle is not necessarily highly volatile), actively managed, and offer users a super competitive 8-12%.