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Celsius Network Acquires Cybersec Firm GK8

Celsius Network, a leading crypto lending platform, has announced its acquisition of GK8, a high-security custodian platform for banks. The acquisition was closed based on a $115 million purchasing price.

Source: cryptodaily.co.uk

According to Celsius, the acquisition would enable its current platform to provide an all-in-one service “built for banks and financial institutions.”

Celsius’ acquisition of GK8 is contentious in that the cybersecurity firm was founded by Lior Lamesh and Shahar Shamai, who have both worked as cybersecurity consultants at the office of the Prime Minister of Israel. Geopolitical implications aside, GK8 ranks among the best custodial platforms, supporting over a slew of key decentralized finance protocols, as well as staking and liquidity pools. GK8 hosts an air-gapped vault designed to mitigate cyberattacks.

“With the GK8 acquisition, Celsius now has the only end-to-end platform that combines a truly offline cold vault with a keyless MPC with an unlimited number of automatic co-signers,” Celsius stated.

Earlier in October, Celsius was subject to a court order by the New York Attorney General , in the latter’s bid to regulate and curb the supposed proliferation of “unregistered crypto lending platforms.” Roughly a week prior to the court order, Celsius raised $400 million in a funding round led by WestCap, a growth equity firm.

With the acquisition of GK8, Celsius will now be able to provide the same degree of enterprise-grade security for its customers. Notably, GK8’s current engagements with financial institutions and central banks would position Celsius in a strategic point, given GK8’s inroads into the development of central bank digital currencies (CBDCs) and other blockchain-compatible financial services such as exposure for family offices and hedge funds.

A crucial addition to Celsius’ development of its platform and services is its appointment of Tushar Nadkarni as its new Chief Growth & Product Officer.

“The rapidly evolving crypto market is at an inflection point, and Celsius has been leading the innovation to bridge the gap between centralized and decentralized finance. At its core though, Celsius is all about its community, and so it’s our mission to keep the consumer at the center, and make this seemingly complex world more accessible and simple for everyone. We want Celsius to be a part of the everyday lives of people for years to come,” shares Nadkarni, commenting on his appointment.

Alongside the acquisition, these strategic moves by Celsius point to a broader integration between centralized and decentralized finance, a crucial area of contention for the crypto and blockchain space.

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