Updated · Nov 16, 2022
Celsius CEO Alex Mashinsky Steps Down
Updated · Sep 28, 2022
The crypto company’s founder and CEO, Alex Mashinsky, said on Tuesday that he is resigning from his position.
The Struggle Continues
Mashinksy has faced intense criticism following the company’s bankruptcy filing in July. According to legal filings from this summer, Celsius owes its customers $4.7 billion.
“I regret that my continued role as CEO has become an increasing distraction,” Mashinsky wrote in a statement. “I am very sorry about the difficult financial circumstances members of our community are facing.”
“I have worked tirelessly to help the company and its advisers put forward a viable plan for the company to return coins to creditors,” he added.
Chris Ferraro, who acted as the chief financial officer, will serve as his interim replacement. He previously spent close to 18 years at JPMorgan Chase & Co.
Mashinsky said that although he is leaving, he will continue to assist the company and help it provide creditors with the “best outcome.”
Celsius rose to fame after offering large interest rates to customers who deposit their savings. In less than five years, the company has become one of the biggest crypto lenders on the market.
However, after the market crashed in the spring, the company collapsed. Initially, it halted withdrawals, transfers, and swaps, but later, it had to file for bankruptcy.
A committee of creditors was formed to represent customers who demanded that Mashinsky leaves. It has said that it is currently working with the company to help find a buyer for Celsius.
According to some leaks, the company wants to release “wrapped tokens” to serve as an IOU for its customers. These new tokens would represent the ratio between the assets they own and what Celsius owes them.
Dejan is a techie at heart who always dreamed of turning his fascination with gaming into a career. He finds working for TechJury a perfect opportunity to express his views of all kinds of different software. Being an avid reader, particularly of fantasy and sci-fi, Dejan pursued a degree in English Language and Literature. When not at his computer, he’s watching sports or playing tabletop games.
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