Troubled crypto finance company Celsius is putting their finest feet toward recover operations alongside Chief executive officer Alex Mashinsky, who presently stays within the U . s . States, the organization claimed.
A spokesperson for Celsius has denied rumors the company’s Chief executive officer attempted to leave the U.S. a week ago among the continuing liquidity crisis from the Celsius Network.
The representative told Cointelegraph on Monday the firm continues focusing on restoring liquidity, stating:
“All Celsius employees — including our Chief executive officer — are focused and working hard in order to stabilize liquidity and processes. To that particular finish, any reports the Celsius Chief executive officer has tried to leave the U.S. are false.”
Celsius’ statement came soon after Mike Alfred, co-founding father of the crypto analytics firm Digital Assets Data, required to Twitter on Sunday to claim that Mashinsky tried to leave the nation a week ago via Morristown Airport terminal in Nj.
Citing an anonymous source, Alfred alleged that Celsius’s Chief executive officer was trying to visit Israel. “Unclear now whether he was arrested or just barred from departing,” he added.
Alfred’s claims adopted an enormous GameStop-like “short squeeze” of Celsius, with Celsius’ native token Celsius (CEL) jumping 300% in a single week by June 21. CEL cost also abruptly rallied greater than 600% on June 14, with analysts attributing the big event for an exchange glitch or liquidation of short traders.
During the time of writing, CEL is buying and selling at $.741, lower around 5% in the last 24 hrs, based on CoinGecko. Celsius’ native token continues to be up greater than 160% in the last fourteen days.
Some industry observers within the crypto community have expressed skepticism about Alfred’s tweets about Mashinsky, with lots of thinking about his allegations as FUD.
If @Mashinsky tried to leave the nation now, the reason for reporting it now exactly once the CEL cost goes lower? Appears very coincidental Mike Alfud. And why no mainstream media or crypto media is reporting this? #CelShortSqueeze https://t.co/ynJbzWib9o
— Otis — #CelShortSqueeze ©️ ⚡️ (@otisa502) June 27, 2022
As formerly as reported by Cointelegraph, Celsius formally announced that it might be “pausing all withdrawals, swaps and transfers between accounts” on June 13. U . s . States regulators subsequently began an analysis into Celsius as multiple accounts around the network were frozen.
Related: South Korean prosecutors ban Terraform Labs employees from exiting the nation: Report
Based on some analysts, Celsius’ liquidity issues ought to be related to shortcomings from the existing crypto lending model generally, as other lenders on the market have faced similar problems lately.
Celsius has worked difficult to fix the effects from the platform’s liquidity crisis, apparently onboarding advisors and restructuring consultants to assist the woking platform handle potential declaring personal bankruptcy. On June 18, Celsius’ lead investor BnkToTheFuture and it is co-founder Simon Dixon provided to profit the network by deploying a recovery plan.
