Alex Mashinsky, the CEO of bankrupt crypto lender Celsius Network, has resigned, according to a press release.
Chief Financial Officer Chris Ferraro has been appointed as Chief Restructuring Officer & Interim Chief Executive Officer with immediate effect.
"I elected to resign my post as CEO of Celsius Network today," said Mashinsky. "Nevertheless, I will continue to maintain my focus on working to help the community unite behind a plan that will provide the best outcome for all creditors - which is what I have been doing since the Company filed for bankruptcy," he added.
Celsius was one of the first in a long list of crypto companies that succumbed to the pressures of this year's bear market. The lender began to feel the squeeze following the collapse of the Terra ecosystem, which saw $60 billion in value evaporate in May. Celsius acted by freezing withdrawals in June before filing for bankruptcy one month later.
Celsius's native CEL token is trading 8% lower following the announcement.
UPDATE (Sept. 27, 14:32 UTC): Adds details of Chris Ferraro's appointment and context throughout.