Celsius Co-Founder Steps Down Mere Days After CEO Tenders Resignation

On Oct 5, 2022

Co-Founder Steps Down

The move is the last in a series of resignations across multiple crypto platforms struggling to stay afloat.

Last Week, Alex Mashinsky formally resigned from his position as CEO of the now-bankrupt crypto asset management firm Celsius. His resignation was taken into consideration effective immediately, although he remained director of the company, stating that the move would allow him to focus on guiding the Celsius community out of the difficult situation they found themselves in.

“I regret that my continued role as CEO has become an increasing distraction, and I am very sorry about the difficult financial circumstances members of our community are facing…I am committed to helping the Company continue to flesh out and promote that plan, in order to help account holders become whole.”

Both Founders Leave Celsius Behind

Now, another Celsius hotshot has turned in his letter of resignation. Daniel Leon – the co-founder and now former Chief Strategy Officer of Celsius – has stepped down, announcing his departure via an internal memo. The resignation was confirmed by an anonymous Celsius spokesperson to Bloomberg.

“We confirm that Daniel Leon resigned from his position at Celsius and is no longer part of the organization.”

Last month, Leon had already filed a motion declaring his share of Celsius stocks worthless as a part of his case in U.S. Bankruptcy Court. According to the document, Leon was in possession of 32,600 common shares at the time the motion was filed. At the moment, it is unknown what bearing this document could have on the upcoming auction of Celsius assets that will start on the 17^th of October, with a deadline for final bids set for the 20^th.

Former Global Tax Director Steps In

Following Leon’s resignation, Celsius confirmed that his position will be filled by former Global Tax Director Lior Koren. He will be operating out of his home country of Israel and, along with Mashinsky, who remains in a leadership role at Celsius, for the time being, will have to deal with the fallout of having to administer the Chapter 11 bankruptcy proceedings aiming to clear up the $1.2 billion hole in Celsius’ pocketbook.

*This article originally appeared in Crypto Potato