Did Celsius’ CEO Just Cash Out CEL Tokens While The Firm Undergoes Bankruptcy Filing?
Keen eyes have noticed that the digital wallet identified with Celsius Network CEO Alex Mashinsky withdrew some CEL tokens in recent days while the company is in the middle of its bankruptcy filing process.
The wallet identified as Mashinsky’s by crypto intelligence firm Nansen made multiple transactions on Saturday and Tuesday to swap 17,475 CEL for US$28,242 worth of ether. These are the first transactions made on the wallet since Celsius paused all withdrawals, transfers, and swaps–which led to a liquidity crisis.
The move happened after community traders have been pumping up the CEL token price in a short squeeze attempt, rallying the price above the US$2.00-mark.
But the transactions are a mere portion for Mashinksy’s CEL holdings–the largest individual holder of the token. Arkham Intelligence data showed that multiple wallets identified with the crypto firm chief sold about US$44 million of tokens in different exchanges over several years.
The wallet that made recent transactions still holds about US$1.1 million worth of CEL tokens, based on Nansen’s data.
The firm is about to have its second hearing on its bankruptcy process next week. It is also facing a legal battle as its former investment manager, KeyFi founder Jason Stone, is taking Celsius to court under fraud allegations.
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