Celsius (CEL): CEO reportedly withdrew $10m before filing for bankruptcy

In recent months, the cryptosphere has been rocked by Celsius news. After freezing customer withdrawals and filing for bankruptcy with a $1.2 billion breach, new details are surfacing. Indeed, Alex Mashinsky, CEO of Celsius Network, has some questions to answer.

Celsius, Alex Mashinsky on the front page!

Since June, crypto lender Celsius has been under the scrutiny of investors and the judiciary. According to a report of the Financial Times, Alex Mashinsky, the CEO of Celsius Network, withdrew $10 million from the platform a few weeks before it froze customer withdrawals.

Moreover, he would have done so knowing full well that she was headed for bankruptcy. According to the same report, the revelations of this withdrawal will raise questions and intensify the scrutiny of Mashinsky, since he knew that the company could not return customer funds.

Last week, Mashinsky stepped down as CEO of Celsius. However, he retains his position as Director of Celsius Network Ltd and will continue to serve on the Board of Directors. Because of this, as part of a broader disclosure of its financial affairs, Celsius could present details of the former CEO’s dealings in court.

Money used wisely?

While all eyes are on these new details, the spokesperson for Alex Mashinsky wanted to make things clear and reassure public opinion. According to the latter, the CEO of Celsius Network Ltd and his family still have $44 million in frozen crypto assets.

As for the use of the funds, his spokesperson claims that he withdrew a quantity of cryptocurrency from his account which was largely used to pay state and federal taxes.

In the nine months prior to this withdrawal, he reportedly made crypto deposits for amounts totaling what he withdrew in May. Thus, despite the crisis that was brewing on the horizon and his resignation, Mashinsky puts society first and continues to make it his priority.

The volatility of the crypto ecosystem will continue to create surprises. While Celsius is having a tough time, the platform’s native token is currently trading green based on data from Tradingview. Moreover, despite the recent details, Alex Mashinsky continues to work to deliver the best results to creditors.

Receive a digest of news in the world of cryptocurrencies by subscribing to our new service of newsletter daily and weekly so you don’t miss any of the essential Tremplin.io!

Similar Posts