Celsius Ex-CEO Withdrew $10 Million Weeks Before Company Froze Customer AccountsThe crypto lender filed for bankruptcy in July — with a $1.2 billion hole in its balance sheet.
ByAmanda Breen•
It's been a rocky time for players and lenders in thecryptomarket.
只是周fore crypto lender Celsius put a stop to customer account transactions on June 12, former CEO Alex Mashinsky withdrew $10 million from the lender, theFinancial Timesreported, citing unnamed sources.
Celsius then filed forbankruptcy7月——在其资产12亿美元的洞sheet.
Related:Ex-Celsius CEO's Wife Selling 'Unbankrupt Yourself' T-Shirts
Mashinsky, 56, who co-founded Celsius in 2017, announced hisresignationas the company's CEO on Sept. 27, perBloomberg. Celsius appointed Chief Financial Officer Chris Ferraro, formerly of JPMorgan Chase & Co, to the role.
Mashinsky withdrew the money in May, according to FT, just as Celsius' many customers, concerned about the market's chaos, were doing the same. When Celsius froze the accounts in June, hundreds of thousands ofretail investorslost access to their savings.
At its peak last year, Celsius had $25 billion worth of crypto assets deposited by customers.
Now, as the company discloses more information about its finances in the coming days, Celsius plans to submit details of Mashinsky's transactions in court.
Per a spokesperson for Mashinsky, the ex-CEO and his family still had $44 million of crypto assets frozen with Celsius following the withdrawal.
Related:5 Things to Know Before You Invest in Cryptocurrency
Approximately $8 million of Mashinsky's withdrawn assets went towardstaxeson income from Celsius assets, per one of FT's sources.
