--- title: "Disgraced Crypto CEO Resigns Amid Bankruptcy Proceedings" description: "Just months after filing for bankruptcy, Alex Mashinsky, the CEO of embattled cryptocurrency \"bank\" Celsius, has resigned from his position." date: "2022-09-28" modified: "2022-09-28" authors: - name: "Maggie Harrison Dupré" job_title: "Senior Staff Writer" link: "https://futurism.com/authors/mharrison" url: "https://futurism.com/the-byte/disgraced-crypto-ceo-resigns-amid-bankruptcy-proceedings" categories: - "Blockchain" - "Cryptocurrency" - "Future Society" tags: - "celsius" - "crypto" - "crypto bro" - "the digest" --- # Disgraced Crypto CEO Resigns Amid Bankruptcy Proceedings ![Just months after filing for bankruptcy, Alex Mashinsky, the CEO of embattled cryptocurrency "bank" Celsius, has resigned from his position.]() *\Image: NurPhoto via Getty / Futurism\* ## He's Out You know what they say. When the going gets tough, just quit your job. Just months after [filing for bankruptcy](), Alex Mashinsky, the CEO of embattled cryptocurrency "bank" Celsius, has resigned from his position. This announcement comes as Celsius, mid-bankruptcy proceedings, has yet to un-freeze the [billions of dollars of user funds]() that it swallowed [back in June](). "I regret that my continued role as CEO has become an increasing distraction," [Mashinsky wrote in a resignation letter](), claiming that the departure is at his own discretion, "and I am very sorry about the difficult financial circumstances members of our community are facing." ## Wrapped Tokens While it's unlikely that this is the a last we see of the influential cryptbro, this departure is a big deal. Like many [now-failed crypto operations](), Mashinsky's magnetic persona and [Twitter clout]() were both quintessential to Celsius' rapid rise to crypto fame. His name is synonymous with that of the defunct lender — to that point, the decision to cut ties might be venture's only chance at redemption. It's also worth noting that the decision comes shortly after [leaked internal audio]() revealed that Celsius is attempting to turn its debt into cryptocurrency in [apparent ]()[plans]() to offer investors "wrapped tokens," a new type of coin that would apparently function like an IOU. ## Bye Bye Rough for Mashinsky. But hey, cursed IOU coins aside, he's not worried about himself right now. He's worried about the *people.* "Since the pause, I have worked tirelessly to help the Company and its advisors put forward a viable plan for the Company to return coins to creditors in the fairest and most efficient way," the CEO's letter continued. "I am committed to helping the Company continue to flesh out and promote that plan, in order to help account holders become whole." Sure. And, well, we hate to see anyone lose their job. But at the end of the day, if it's gonna be someone, it might as well be Mashinsky — after all, plenty of [everyday retail investors]() have lost enough to him. **READ MORE:** [*Celsius CEO resigns in the middle of bankruptcy proceedings*]() **More on Celsius fallout:** [*Crypto Lender That Kept Bragging about How Great It Was Files for Bankruptcy*]() ## Author At Futurism, I've reported extensively on the rise of AI as a cultural and business force shaping the media industry, and more broadly how those dynamics are changing how we all consume and share information and relate to one another. I'm also fascinated by public health policy and ethics, the role of emerging tech in politics and governance — and the powerful people and forces at those intersections — climate change, and the environment. My investigation on Sports Illustrated's use of AI-generated authors with fictional biographies won a 2024 Mirror Award for "Best Story on Media Coverage of Artificial Intelligence in Journalism and the Media" from Syracuse University's SI Newhouse School, I contributed to Niemen Lab's 2025 Predictions for Journalism series, and I've discussed my work for Futurism during appearances on NPR, CNN, the BBC, the CBC, and more. I grew up in rural Pennsylvania and attended the University of Massachusetts Amherst, where I played Division I field hockey for the Minutewomen as a midfielder. Since then, I've lived in New Orleans, Louisiana and Manhattan, New York. I spend my free time running, reading, perusing archival fashion, and searching for the world’s best negroni. I also have a debonair tuxedo cat, Westley, who's named after "The Princess Bride." ### Author social links [Bluesky]()