In 2021, the Caisse de depot et de placement du Québec (CDPQ) decided to enter the crypto sector. It then made a multi-million dollar investment in Celsius (CEL). Today, the Caisse regrets this investment and it indicated it during a webcast on its half-year results.
The CDPQ regrets its $150 million stake in Celsius (CEL)
According a tweet from CoinDesk on August 17, “Canadian pension fund giant CDPQ has said it will cancel its entire $150 million bet on bankrupt crypto lender Celsius“. The CDPQ has therefore decided to cancel the investment it made in Celsius (CEL) in the fall of 2021. The Caisse has made it clear that it acted prematurely in entering the sector.
In 2021, at the time of the investment in Celsius, the senior vice-president who is also responsible for technology at the Caisse had suggested that it was a good opportunity. Indeed, Alexandre Synnett had declared:Blockchain technology has the potential to disrupt several sectors of the traditional economy. As the adoption of digital assets increases, we intend to seize the right opportunities, while working with our partners towards a regulated industry.“.
This Wednesday, Charles Emond said that the Fund had arrived “too early in a sector in transition“. He said that the pension fund had nevertheless carried out the necessary checks before investing. Charles happens to be the current CEO of the CDPQ.
The Canadian pension giant has decided to cancel the $150 million investment made in Celsius (CEL) in 2021. Recall that Celsius (CEL) ran out of cash and went bankrupt due to the crypto winter. The company is currently following a procedure to successfully stay afloat and repay its creditors.
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