Embattled cryptocurrency lender Celsius Network has fully repaid a loan with decentralized finance protocol Maker, allowing it to reclaim $440 million that had been posted as collateral for it. The funds were later sent to crypto exchange FTX.

The U.S. Treasury Department has published a fact sheet outlining how it could work with foreign regulators to address the cryptocurrency sector. The fact sheet states that the framework is “intended to ensure” that “America’s core democratic values are respected.”

Social media giant Reddit has partnered with Polygon to launch a range of blockchain-based non-fungible token (NFT) avatars that can be set as profile pictures on the platform. These NFTs differ from existing Reddit avatars as they will give purchasers licensing rights to use them both on and off Reddit.

Top stories in the Crypto Roundup today:

• Celsius Network Reclaims $440 Million After Repaying DeFi Loan
• U.S. Treasury Develops International Crypto Regulation Framework
• Reddit Launches Polygon-Based NFT Avatars
• Crypto Market Movers – AAVE, LPT, MATIC

Celsius Network Reclaims $440 Million After Repaying DeFi Loan

Embattled cryptocurrency lender Celsius Network has fully repaid a loan with decentralized finance protocol Maker, allowing it to reclaim $440 million that had been posted as collateral for it. The funds were later sent to crypto exchange FTX.

More specifically, Celsius repaid a $41.2 million loan in DAI, Maker protocol’s stablecoin, which prompted the protocol to release 21,962 wrapped bitcoins (WBTC), a tokenized version of Bitcoin on the Ethereum blockchain.

The move represents a significant liquidity boost for the cryptocurrency lender, which halted withdrawals and transactions on June 12 to avoid a run on deposits.

Analysts have speculated the collateral Celsius freed up may now be sold in a bid to meet creditor demands and customer withdrawals.

U.S. Treasury Develops International Crypto Regulation Framework

The U.S. Treasury Department has published a fact sheet outlining how it could work with foreign regulators to address the cryptocurrency sector. The fact sheet states thatthe framework is “intended to ensure” that “America’s core democratic values are respected.”

The sheet pointed to consumer, investors, and business protection, as well as to the safety of the global financial system and interoperability. The document details the framework’s policy objectives, which include reducing the potential use of crypto for illicit finance, promoting access to financial services, and reinforcing “U.S. leadership in the global financial system.” It adds:

"The United States must continue to work with international partners on standards for the development of digital payment architectures and CBDCs (central bank digital currencies) to reduce payment inefficiencies and ensure that any new payment systems are consistent with U.S. values and legal requirements.”

The Treasury Department’s fact sheet also notes the United States will “promote the adoption and implementation of international standards through bilateral and regional engagements.”

Reddit Launches Polygon-Based NFT Avatars

Social media giant Reddit has partnered with Polygon to launch a range of blockchain-based non-fungible token (NFT) avatars that can be set as profile pictures on the platform. These NFTs differ from existing Reddit avatars as they will give purchasers licensing rights to use them both on and off Reddit.

These new NFTs are set to be hosted on the Polygon network, with Reddit noting its low transaction fees and sustainability commitments factored into the decision to choose Polygon over other chains.

Reddit’s collectible avatars will be able to be matched with merchandise available in the avatar builder and a “glow-like effect” that will accompany user comments on the website. The avatars will be available in both crypto and fiat currency.

The move sees Reddit joins a growing number of platforms adopting NFTs. Last year, Meta’s Instagram started supporting NFTs, as did Twitter. Earlier this year, eBay acquired NFT marketplace KnownOrigin.

Crypto Market Movers – AAVE, LPT, MATIC

Several tokens are leading the charge in the last 7-day period. Some of these are well-known cryptocurrencies with more liquid trading pairs, so we’ll be focusing on these over low-cap cryptos that may have higher percentage changes.

Aave (AAVE) - Aave is a decentralized non-custodial money market protocol where users can participate as depositors or borrowers. Depositors provide liquidity to the market to earn a passive income, while borrowers are able to borrow in an overcollateralized (perpetually) or undercollateralized (one-block liquidity) fashion.

Livepeer (LPT) - Livepeer is a platform for video transcoding and distribution. Users will be able to create and broadcast video sessions to its viewers on a global scale by sending their videos to the Livepeer network, which will transcode the data to the formats and bit rates that the viewers can consume. Fees are paid to the transcoders by the broadcasters in a form of the platform token, the LPT.

Polygon (MATIC) - Polygon (MATIC) is a Layer-2 scaling solution for Ethereum that provides users with faster transactions and lower costs as a parallel blockchain running alongside the main Ethereum network.

State of the Crypto by Top Tier Exchange Volume

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