Celsius Ex CEO Dumping CEL Tokens Amid Increasing Legal Troubles
Alex Mashinsky, former CEO of the bankruptcy ridden digital asset lending firm reportedly on the Celsius (CEL) token selling spree. However, Mashinsky is under inspection since his firm filed for bankruptcy and halted the withdrawal. Earlier, it was alleged that Celsius’s top executives withdrew huge amounts of funds just before insolvency.
Celsius ex CEO withdraws USDC
Coffeezilla, an internet investigator exposing scams highlighted that Celsius ex CEO is dumping hundreds of dollars of CEL tokens. The transactions have been done from Mashinsky’s multiple wallets. He has moved around $1 million worth of CEL and USDC tokens over the past day.
The Celsius executives are withdrawing while the firm halted the Custody Withdrawals of the customers.
Earlier, Coingape reported that Alex Mashinsk withdrew around $10 million from the crypto lender. This happened just before the firm froze the customer’s accounts which led it to file for bankruptcy.
It is suggested that ex CEO pulled off the funds after watching customers withdrawing their assets in heavy numbers due to volatile crypto market conditions. However, Celsius went on to freeze withdrawals on June 12. Later, the digital asset lending firm filed for bankruptcy in the same month.
Did Mashinsky know what was coming?
The withdrawal revelations can escalate the probe over Mashinsky decisions. It also highlights the fact that he knew that the bankruptcy ridden firm will be able to return assets to their users.
Meanwhile, Celsius user loss website mentions that an individual named Jacob Benjamin Fite ranked first on the list. He is at a loss of around $40 million. The top 10 individuals cumulatively account for around $220 million in the loss. However, Celsius holds a deficit of more than $1.19 billion on its balance sheet.
On the market side, the Celsius token prices are down by around 8% in the last 24 hours. It is trading at an average price of $0.95, at the press time. CEL is down by 77% on the year to date basis.
- Fed’s Lorie Logan Urges Caution on Further Rate Cuts Citing Inflation Risks
- Nasdaq-Listed Fitell Adds Pump.fun’s PUMP To Supplement Solana Treasury
- FG Nexus to Tokenize Stock on Ethereum as SEC Weighs 24/7 Onchain Stock Trading
- Bitcoin Still Undervalued, JPMorgan Forecasts Rally to $165,000
- Breaking: CME to Launch 24/7 Crypto Futures Trading Amid Rising Institutional Demand
- Pi Network Price at Risk of Another Crash as Mysterious Whale Stops Buying
- Solana Price Eyes $360 After Bullish Retest As VisionSys AI Deploys $2B Treasury Strategy
- Cardano Price Forecast As Hashdex Listing Fuels Optimism For $1.27 Breakout
- BONK Price Rally Ahead? Open Interest Jumps as TD Buy Signal Flashes
- Shiba Inu Price to Surge as Whales Buy and Team Commits to Shibarium Growth
- XRP Price Prediction After Ripple CTO David Schwartz Resigns
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
