Troubled cryptocurrency lender Celsius announced that it has filed for Chapter 11 bankruptcy protection in New York. Celsius Files For Bankruptcy In a Wednesday statement, Celsius filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York to start a financial restructuring process. The company stated that it has $167 million in cash to support certain operations during the restructuring process. Celsius last month stopped withdrawals, swaps, and transfers between accounts, citing the need to “stabilize its business and protect its customers,” according to its bankruptcy filing. Commenting on the move, Alex Mashinsky, Co-Founder & CEO, Celsius, said: “This is the right decision for our community and company. We have a strong and experienced team in place to lead Celsius through this process. I am confident that when we look back at the history of Celsius, we will see this as a defining moment, where acting with resolve and confidence served the community and strengthened the future of the company.” Moments ago, @CelsiusNetwork filed voluntary petitions for Chapter 11 protection and announced that the company initiated a financial restructuring. https://t.co/vf5wsT6TMp — Celsius (@CelsiusNetwork) July 14, 2022 US State Regulator Called Celsius ‘Deeply Insolvent’ The decision by Celsius to file for bankruptcy came on the sam...
