Celsius CEO Mashinsky Resigns

Embattled Crypto Lender Froze Customer Assets In June

By: Aleksandar Gilbert   

Celsius CEO Mashinsky Resigns

Alex Mashinsky, the CEO of bankrupt crypto lender Celsius, has resigned, the company announced Tuesday.

Celsius was one of several crypto firms to pause customers’ withdrawal of crypto deposits this summer, citing market turmoil as the bear market took hold. It later filed for bankruptcy, and customer deposits have remained trapped ever since.

Crypto Lender Celsius Files for Bankruptcy Protection

Crypto Lender Celsius Files for Bankruptcy Protection

Celsius, the crypto lender that last month halted withdrawals, has filed for Chapter 11 bankruptcy protection, the company said in a press release. User withdrawals will remain halted.

The Defiant The Defiant

“I regret that my continued role as CEO has become an increasing distraction, and I am very sorry about the difficult financial circumstances members of our community are facing,” Mashinksy wrote in his letter of resignation. “I am committed to helping the Company continue to flesh out and promote that plan, in order to help account holders become whole.”

Celsius has been one of the most prominent of this year’s crypto failures, along with hedge fund Three Arrows Capital and competing lender Voyager Digital. On Monday, Voyager, which had also filed for bankruptcy this summer, sold its assets to crypto exchange FTX for more than $1.4 billion as part of the restructuring process.

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