Celsius CEO Resigns: Fall of the Lender Network

• Alex Mashinky, CEO and founder of the crypto lender resigns on Tuesday with an apology to customers for difficult financial circumstances.
• Celsius paused withdrawals, swaps, and transfers in response to extreme market conditions fueling rumors that the company has become deeply insolvent.

Alex Mashinsky, the CEO of Celsius Network, has resigned from his position. The company filed for Chapter 11 bankruptcy protection in July after it was unable to meet its financial obligations.

Mashinsky said in a statement that he was stepping down “in the best interests of the company and its stakeholders.” He said that he had worked tirelessly to help the company return coins to creditors in the fairest and most efficient way possible.

The resignation comes as Celsius is facing increasing scrutiny from regulators and investors. The company is being investigated by the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).

Celsius is one of a number of cryptocurrency companies that have filed for bankruptcy in recent months. The collapse of the Terra ecosystem in May triggered a wave of liquidations and forced many crypto lending platforms to suspend withdrawals.

The future of Celsius is uncertain, but the resignation of Mashinsky is a significant development. It suggests that the company is facing serious challenges and that it may be difficult to recover.