Alex Mashinsky, the CEO of Celsius Network, the troubled crypto lending firm, has tendered his resignation as director of the company, effective immediately.

As stated in a press release from the company, the letter of resignation was delivered to the Special Committee of the Company’s Board of Directors.

The resignation letter sent by Mashinsky says:

“Effective immediately, please accept my resignation as CEO of Celsius Network Ltd, as well as my director and other positions at each of its direct and indirect subsidiaries, with the exception of my director position at Celsius Network Ltd. I regret that My continued role as CEO has become an increasing distraction, and I deeply regret the difficult financial circumstances facing members of our community.Since the hiatus, I have worked tirelessly to help the Company and its advisors come up with a workable plan. for the Company to return coins to creditors in the most fair and efficient manner. I am committed to helping the Company continue to develop and promote that plan to help account holders be whole.”

Mashinsky co-founded Celsius Network along with Daniel Leon in 2017, and the company grew to become one of the most famous crypto lending platforms in the crypto world.

The company’s operation fell apart in June when it halted withdrawals and eventually filed for bankruptcy after realizing that internal restructuring and staff layoffs would be insufficient to help resolve its liquidity problems.

Mashinsky’s resignation comes at a time when the company is in the midst of bankruptcy proceedings, and the former chief executive said his departure would position him in a better place to help each shareholder get the best of the company in the end. .

Unlike Celsius Network, Voyager Digital, another bankrupt player, is on track to be acquired by FTX after the stock market giant won an offer to acquire it for $1.4 billion.

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