Celsius Network is currently one of the fastest growing cryptocurrency companies
Celsius, the industry leading crypto rewards collection platform, is seemingly setting new milestones every week. The network currently has a customer base of over 464,000 users after seeing over 300% user growth in the last year alone. Last month, the crypto platform announced that it had distributed over $ 250 million worth of crypto rewards. This is a remarkable increase from the $ 80 million reported four months ago.
Another report from last week detailed that the network has created exponential jobs over the past year. The lending platform announced a 350% workforce growth in a year of the COVID-19 pandemic from March 2020 to March 2021.
Aside from adding new roles and expanding the workforce, the company is also making news of its worth. An independent review by digital asset investment firm Alpha Sigma Capital found the company to be valued at $ 3.13 billion. In addition, the crypto platform will see its assets under management grow by 25% annually over the next four years.
The implied value of Celsius was calculated based on the 2020 financial data. The implied value of $ 3.13 billion is nearly three times the market cap, which is currently heading towards $ 1.2 billion. The review found that the crypto platform was not properly valued in terms of the $ 126.14 million in revenue the company generated over the past year.
Alpha Sigma wrote: “Based on the 2020 financial data received from the Celsius management team, we have refined and updated our valuation model. Look at the numbers […]it seems that Celsius is currently undervalued … “
The US-based investment firm highlighted the expected numbers based on their updated projections
“Our forecasts for 2021 are conservative, and we see AUM growth slowing with further AUM growth of $ 3 billion by the end of the year. From there, we assume the company can grow 25% year over year by 2025. “
Based on these numbers, the platform’s assets under management (AUM) are projected to reach $ 30 billion over the next four years. Expanding the interchangeability will likely help steer Celsius toward this milestone. The CEO of Celsius has also assumed that self-insurance is an alternative on the table. With this approach, users can insure the funds they invest in the crypto lending platform.