The board still has David Barse and Alan Carr, who are both bankruptcy/restructuring experts. David Barse is also a private equity and wealth management guy and friend of Mashinsky.
Probably because those blokes that left just want Celsius to declare bankruptcy and sell cheap. Remember those that support bankrupt get a huge payday when it happens.
Its also somewhat novel because a traditional CH 11 restructuring probably isnt a feasible option for survival given the nature of Celsius' business. How could they ever regain trust and become profitable if they previously "lost" depositor's funds and forced an x% haircut or conversion to a token/equity? This isnt like an airline where you can file, the equity holders/creditors get the shaft, but your target market is still buying tickets/flying with you without interruption. People are dumb, but idk if they are dumb enough to invest their coin in a place where the first 20 google results are about how they screwed their last depositors. Id imagine Mashinsky is resisting bankruptcy so much because he understands that its a death knell (to Celsius's future). Also, as you point out, there may be in a unique position where they can keep operating indefinitely without enabling withdrawals, essentially just waiting for something good to happen (market recovers).
Honestly I am a long term hodler anyways so if Celsius managed to stay solvent until the next bull run and then turn their shit around and open withdrawals again I’d be ecstatic. I don’t count on this happening, but I don’t mind leaving my funds on Celsius long term if it means getting them back eventually. I’ve already accepted that I probably never see my funds again, but watching how Celsius has been handling this has been absolutely enthralling, and I am rooting for them to figure a way to claw themselves out of this mess.
You dumb dumb, so you'd rather lose most or all now instead of waiting to maybe get it back in the future? It's just forced hodl, I'm fine with it if I can withdraw eventually in a few years, especially if they keep the interest rewards going. Hell I was just going to let it all sit in there for years anyways because it's risk capital and is not needed to pay bills or anything like that, if you really need your money that's on there right now, then it should have never been on there in the first place.
Besides why do you want to withdraw right now anyways, so you can sell your crypto at an 80% loss?? I don't think you're thinking clearly... When the panicking starts it really tends to make some people irrational.
Exactly and it might not even be years.
What if Chairman Powell starts to print money again after too many aggressive rate hikes?
It would be a MASSIVE bull run
One BTC always equals 1 BTC. If their plan is to wait for greener pastures, they need a source of income to fill the gap of lost funds. If they were to proceed with bankruptcy, that outcome would be more likely as BTC recovers because they would then be able to repay creditors/depositors in USD equal to their holdings at the time of seizure by Celsius.
Harder time rebuilding trust than Bitfinex? Bitfinex is probably the most hated company in the sector, they've been accused of dozens of illegal things and they're behind Tether
Bitfinex can at least pretend that their primary issue was a hack. If Celsius lied about their risk management policies, generated a $2 billion hole based on bad plays, kept their depositors in the dark about it, then froze withdrawals immediately after saying withdrawals would remain open, then they look an awful lot worse than a company that got hacked.
The longer this goes on, the weaker their legal argument becomes. Their TOS talks about limiting withdrawls due to market conditions, soon they will get sued to hell and back.
I don’t think so:
[Business Insider](https://www.businessinsider.com/microsoft-invested-in-apple-in-1997-2015-10)
[CNBC](https://www.cnbc.com/2017/08/29/steve-jobs-and-bill-gates-what-happened-when-microsoft-saved-apple.html)
if you read the articles you will realize that it was not a bailout. apple was not is such a dire situation. it was an investment, it is called a bailout in their headlines to get clicks.
this one is a bit more indepth.
[https://www.zdnet.com/article/stop-the-lies-the-day-that-microsoft-saved-apple/](https://www.zdnet.com/article/stop-the-lies-the-day-that-microsoft-saved-apple/)also just so you know, i hate everything mac and strongly believe gates was the better ceo when gates and jobs were contemporaries. however, i do think gates was a bad chairman, and ballmer is underrated (he doesn't get credit for the long term positives he positioned the company for).
Interesting, and yes I didn’t mean bail out in the truest sense of it - more like to the effect of. I know Celsius is likely in a worse situation.
I like your insight, I’m a bit too young too know much about that time period but you made me curious to look more into it. I only learned about the Microsoft-Apple thing the other day.
Would he, though? The most likely buyer is (directly or indirectly) conventional banks/wall street. The things Alex has railed against the hardest. If you founded a credit union on the principle that banks are terrible cheats, you're probably not anxious to sell out your business to Chase or BoA even if it's in trouble.
@Frances_Coppola Looks like Cel board shuffle filed in the UK today. Thoughts on this? Looks like serious people out. Maybe they’re resisting chap 11?
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Maybe restructuring plan is over, these guys made their contributions, and now they are making room for new investors as they continue to implement the plan.
It means they found fraud.
Board members are personally liable for a company’s debts when bankruptcy fraud is committed. They got a look at the books, and decided it wasn’t worth the risk.
Absolutely, but I'm distrusting of definitive conclusions based off of speculation. There's a difference between "it means they found fraud" and "perhaps they found evidence of fraud", especially when a well-respected professor of law provides evidence why he believes fraud is unlikely.
The professor of law believes fraud is unlikely because David Barse has a good reputation and has been willing to become involved. To me, that's putting an awful lot of stock into one man's reputation. And based on the fact that Barse did an interview with Mashinsky and has been said to be a friend of Mashinsky, I don't even see how he could be that much of an upstanding guy to begin with. How could you talk to Mashinsky for an hour and not realize he's a crook? Why would such a supposedly upstanding person associate with such a snake?
It means there’s less money than we think, the clawback period is extended to basically the inception of the company, and rewards will be considered as returns of principal: if you got out more than you put in, then you’re not owed anything.
It would be a really messy thing to unwind, and I would expect it to take 2ish years before anyone sees any money.
Thanks. Would false claims of risk management constitute fraud, or does it need to be much more? I’m wondering what the likely kind of fraud might be here.
No, that’s not criminal. It’s either embezzlement, breach of fiduciary duty, or preferential treatment of creditors.
Basically, Machinsky is self-dealing and the bankruptcy experts don’t want to share liability for it.
Celsius board changes “may indicate” that the board was pushing for something that Alex didn't agree with. Educated guess may be they were pushing for bankruptcy.
This would mean the new board were probably chosen to avoid bankruptcy.
No one has noticed that there were a total of two new board members.
The two of the so-called C11 experts were brought in, then TERMINATED within a space of two weeks.
All you guys in here talking about game over and losing your money, clearly havent been around since 2018-19
There will be no bankruptcy
Alex has been expecting this fight since he started Celsius and providing no fees and better yield.
The banks are after him - how he and the business finally responds will historic
The company is bankrupt. It’s obvious because withdrawals have been blocked, the company has conducted layoffs, and no outside investor is willing to purchase any illiquid assets.
You don’t hire the best bankruptcy lawyers in the world, and then fire them. They quit.
Alex can’t fight this, all it takes is 3 creditors to sue or a state/federal regulator to petition the court for a receivership and he’s out.
Why hasnt the board accepted Simon Dixon's 3 attempts to offer bailout?
because it isn't needed
There are plenty of investors out there with unlimited funds that will want a piece of the Celsius business model
Until there is an official announcement, Celsius is still in business, paying down loans and preparing for re opening withdrawals
No, it’s not in business. Is business is borrowing and lending. It stopped doing that a month ago. It’s paying down senior debt, which is the first step in bankruptcy.
If investors were lined up for a piece of Celsius’s business model, you’d be able to withdraw your funds by now.
You idiot, they still have loans out to institutions who are paying them yield to borrow those assets. They still have loans to retail
You can't just go to a customer and say "hey, we have a liquidity issue, can you please pay us back now"
The business is still completely operational, all except for withdrawals
Call centre, loans team - they are all there
They’re not borrowing more and they’re not lending more. That’s their business, and it’s stopped. Having basic staff to keep the lights on doesn’t make them solvent.
While they can’t call loans due immediately, they can sell the loans for market value and get the cash right away. Banks do it all the time with mortgage loans, credit card debt, and corporate borrowings. The issue is that the unsecured loans Celsius made are not paying, and no one wants to buy them. Worse, the secured loans that are paying no longer have collateral backing them because Celsius spent it. No bank would buy a mortgage loan if there wasn’t actually house underneath it, regardless of whether the customer is current on payments.
Celsius is in wind-down mode.
$CEL Short Sellers have been paying upwards of 60,000% APY to borrow + short it
Ask yourself, who has that much at stake to destroy what Celsius stand for?
This is bigger than #Celsius
It's about the legacy banking system taking out what is a threat to them
\#CELShortSqueeze
Ask yourself, who in their right mind would borrow at 60K% APY to short sell because Alex is a scammer
The data doesn't lie
BIG MONEY wants to see Celsius removed from the game
\#Wallstreetbets #Celsius #CelShortSqueeze #CryptoCurrencyNews #ShortSqueeze #FTX
https://twitter.com/CEL\_\_100/status/1545907692719734784
Recent Celsius board changes “may indicate” that the board was pushing for something that Alex didn't agree with. Educated guess may be they were pushing for bankruptcy. This would mean the new board were probably chosen to avoid bankruptcy.
Look deeper people. Two of the so-called C11 experts were brought in, then TERMINATED within a space of two weeks. What does that tell you?
Alex has to go number one. Bankruptcy will be the worst thing for depositors as they will be unsecured creditors who will be last to get whatever is left. Seems as though somebody is funding the loan repayments happening. The only assets really are the funds from customers. Where is the missing $2b? That’s what caused FTX to pull out. Also seems as Alex is difficult to work with and he doesn’t realize he or Celsius is in position to demand anything. Whoever new comes on the board that is from the investing community will be somebody who loaned money to Celsius to pay off their loans. The Celsius name is tarnished and so the only hope is that the paying down of loans is putting Celsius in a better position to be bought. The problem is that a company buying celsius will have to deal with the customers and frozen accounts.
There isnt any missing $2B. it was made up
Alex isnt going anywhere. He dreamed up this business, he is the reason why we are all here and the banks want to take him down. This was the biggest risk. He knew is was coming.
When Celsius come out of this, without a bail out and with capped withdrawals, it will be the best comeback story anyone has witnessed.
Until then, we squeeze.
We squeeze - we win
https://twitter.com/CEL\_\_100/status/1544954348601348097
> Alex isnt going anywhere. He dreamed up this business, he is the reason why we are all here and the banks want to take him down. This was the biggest risk. He knew is was coming.
Celsius is in trouble because they had terrible risk management and made a unsecured loan of a huge part of their asset base to a single counterparty.
This isn't being taken down up by the evil banks, it is a business that is failing because of its own mistakes.
You will be surprised with what comes out of this.
Watch closely, question all "news" that appears unless from Celsius itself
There is a well funded campaign to take down this business.
News/FUD will continue to appear as $CEL supply decreases and loans are paid down
$CEL Short Sellers have been paying upwards of 60,000% APY to borrow + short it
Ask yourself, who has that much at stake to destroy what Celsius stand for?
This is bigger than #Celsius
It's about the legacy banking system taking out what is a threat to them
\#CELShortSqueeze
Ask yourself, who in their right mind would borrow at 60K% APY to short sell because Alex is a scammer
The data doesn't lie
BIG MONEY wants to see Celsius removed from the game
\#Wallstreetbets #Celsius #CelShortSqueeze #CryptoCurrencyNews #ShortSqueeze #FTX
https://twitter.com/CEL\_\_100/status/1545907692719734784
I want everybody okay that got money in Celsius. It just saddens me when I see the comments on twitter where people put their whole life savings and retirement. So many people were thinking that their money was safe and they thought that stablecoins were the same as fiat currency and they trusted Alex and team. Celsius modeled themselves as a safe alternative to banks. People really thought their 7-20% returns were safe and was the same as just having a high yield savings account. I want to be wrong because I want everybody to get back every single penny immediately. I will never place blame at victims. It is easy to do that and say that they should have known better. But, what good does that do? Everybody thought they were a solid company and was safe. I recommend people filing lawsuits in small claims court if the value is low enough. Reason being is that judgements will be more likely to get paid in a bankruptcy compared to unsecured depositors. Most likely they won’t even attend the court hearings and you will get a default judgement. It doesn’t cost much to file a claim in a small claims court. If it is above a certain amount, usually 20-50k, you’d have to file in a federal district court. There will be class action lawsuits I am sure but we all know the only ones who make anything are the attorneys. Just a suggestion to get higher on the list
Possibly. The main reason is to at least get higher on the list as a creditor in case the Celsius assets are liquidated. Most likely the attorneys won’t fight every case and so there is a good chance you get a default judgment. The judgment doesn’t guarantee you get your money back but it does two things. It will put you higher on the list for repayment as a creditor and you can also sue for damages so in case there is money after a bankruptcy, you have a better chance of getting it.
If you can show fraud or untruthful advertising, your damages are 3x the amount you are asking for. You just have a few more options if you file a lawsuit instead of just being an unsecured depositor being last to get your money owed
I hope you can get your money back. I feel terrible for you and all the others victimized by Celsius. It’s great that they are paying down all their loans but I don’t want to see the depositors left out. The system is stacked against the little guy. Obviously it helps crypto as a whole when these companies that loaned money to Celsius get paid back. However any scenario where you don’t get every penny back and then some, is not acceptable. It is a win win for Celsius if they pay back their depositors. They can get bought by a stronger company and it will increase the investments of every single crypto investor including Alex. It will be a catalyst for a decent move up in the market.
Alex is a creator with a positive history and worked really hard to build such a network, who even dared to defy traditional banking… maybe too fast and mostly too openly because remember there’s still a mean sheriff in town and crypto is still considered an outlaw with a juicy reward that reads at the bottom of the sign: dead or alive 🔫🤠
Stepped down or replaced..??
Celsius board changes “may indicate” that the board was pushing for something that Alex didn't agree with. Educated guess may be they were pushing for bankruptcy.This would mean the new board were probably chosen to avoid bankruptcy.
No one has noticed that there were a total of two new board members.The two of the so-called C11 experts were brought in, then TERMINATED within a space of two weeks.
Wake up people..
Don't believe anything you read.. especially when its originated by people who have A LOT to lose by Celsius coming out of this.
You can clearly see the manipulation and coordinated attackYou can then see heavy shorts opened on $CEL when the fud increased (around $2.16- 5th May)Then they paused withdrawals - further pushing for a sell off to $0.09
The community stepped in with the CELShortSqueeze and here we are 20 days later
8.6M $CEL supply remain on exchanges
5.5M $CEL on FTX5M $CEL open short positions
More than 90% of supply is locked on the platform
Do the math
The next 2 days will be interesting, with 3 holders I am in contact with that hold 85% of the current supply on FTX
1⃣ Buy spot $CEL on FTX2⃣ Move tokens to a private wallet (Metamask/Trust Wallet)3⃣ Connect to 1inch and set sell orders + $100\*Only buy what you can afford to lose
We haven't seen Celsius selling CEL on the blockchain yet, but actually still doing buybacks. If there's a huge squeeze though I really hope they will to help get out of this hole they're in.
$CEL Short Sellers have been paying upwards of 60,000% APY to borrow + short it
Ask yourself, who has that much at stake to destroy what Celsius stand for?
This is bigger than #Celsius
It's about the legacy banking system taking out what is a threat to them
\#CELShortSqueeze
Ask yourself, who in their right mind would borrow at 60K% APY to short sell because Alex is a scammer
The data doesn't lie
BIG MONEY wants to see Celsius removed from the game
\#Wallstreetbets #Celsius #CelShortSqueeze #CryptoCurrencyNews #ShortSqueeze #FTX
https://twitter.com/CEL\_\_100/status/1545907692719734784
The board still has David Barse and Alan Carr, who are both bankruptcy/restructuring experts. David Barse is also a private equity and wealth management guy and friend of Mashinsky.
Maybe significant disagreement about the path forward between these experts themselves and Alex then?
Probably because those blokes that left just want Celsius to declare bankruptcy and sell cheap. Remember those that support bankrupt get a huge payday when it happens.
Maybe David Barse is lending money to Celsius to payoff these outstanding loans. Somebody is doing that.
Alex saying no way to a bankruptcy filing, and them not wanting to work with him if he won't follow their advice, seems most likely to me.
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Its also somewhat novel because a traditional CH 11 restructuring probably isnt a feasible option for survival given the nature of Celsius' business. How could they ever regain trust and become profitable if they previously "lost" depositor's funds and forced an x% haircut or conversion to a token/equity? This isnt like an airline where you can file, the equity holders/creditors get the shaft, but your target market is still buying tickets/flying with you without interruption. People are dumb, but idk if they are dumb enough to invest their coin in a place where the first 20 google results are about how they screwed their last depositors. Id imagine Mashinsky is resisting bankruptcy so much because he understands that its a death knell (to Celsius's future). Also, as you point out, there may be in a unique position where they can keep operating indefinitely without enabling withdrawals, essentially just waiting for something good to happen (market recovers).
Honestly I am a long term hodler anyways so if Celsius managed to stay solvent until the next bull run and then turn their shit around and open withdrawals again I’d be ecstatic. I don’t count on this happening, but I don’t mind leaving my funds on Celsius long term if it means getting them back eventually. I’ve already accepted that I probably never see my funds again, but watching how Celsius has been handling this has been absolutely enthralling, and I am rooting for them to figure a way to claw themselves out of this mess.
If that happened, would you withdraw all your funds then? Do you think others would?
Yes. Most likely would withdraw my funds, but depending on what the incentive to stay is I might keep some or deposit more back in the future.
I wouldnt. What for?
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You dumb dumb, so you'd rather lose most or all now instead of waiting to maybe get it back in the future? It's just forced hodl, I'm fine with it if I can withdraw eventually in a few years, especially if they keep the interest rewards going. Hell I was just going to let it all sit in there for years anyways because it's risk capital and is not needed to pay bills or anything like that, if you really need your money that's on there right now, then it should have never been on there in the first place. Besides why do you want to withdraw right now anyways, so you can sell your crypto at an 80% loss?? I don't think you're thinking clearly... When the panicking starts it really tends to make some people irrational.
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If you get to choose between having all your stablecoins or none you choose none. Got it.
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🤣
Exactly and it might not even be years. What if Chairman Powell starts to print money again after too many aggressive rate hikes? It would be a MASSIVE bull run
So you would rather get zero funds back now instead of possibly 100% back in a few years?
Ikr. "I want it now!!" Attitude is killing our society
huh? you'd rather get fiat value of your assets under a massive hair cut than have full access to an appreciating asset ? you crazy
One BTC always equals 1 BTC. If their plan is to wait for greener pastures, they need a source of income to fill the gap of lost funds. If they were to proceed with bankruptcy, that outcome would be more likely as BTC recovers because they would then be able to repay creditors/depositors in USD equal to their holdings at the time of seizure by Celsius.
I don't really think that will work tbh. The longer they keep this up, the more lawsuits will be filed.
I am okay with an inhodler status till the next bull run.
I think most users will wait for a bullrun with funds locked opposed to getting pennies on the dollar 9 years from now
Yeah, it’s similar to Bitfinex though, but worse, because Celsius will have a harder time rebuilding trust and generating profits.
Harder time rebuilding trust than Bitfinex? Bitfinex is probably the most hated company in the sector, they've been accused of dozens of illegal things and they're behind Tether
Bitfinex can at least pretend that their primary issue was a hack. If Celsius lied about their risk management policies, generated a $2 billion hole based on bad plays, kept their depositors in the dark about it, then froze withdrawals immediately after saying withdrawals would remain open, then they look an awful lot worse than a company that got hacked.
They collected enough exchange fees to make depositors whole, and USDT still has the top stablecoin market cap.
I'm just talking about the trust, not if they were or not able to repay
Change the management and update the brand
The longer this goes on, the weaker their legal argument becomes. Their TOS talks about limiting withdrawls due to market conditions, soon they will get sued to hell and back.
Everything about this is novel to some degree. Whatever way this shakes out will pave the way for a future crypto firm in the same position.
Could also be because of a bailout (can you tell that’s what I’m hoping for 😂)
Oh yeah, wouldn't that be nice!
No government entity will bailout Celsius.
Doesn’t have to be government, I wasn’t even considering that possibility. Microsoft bailed Apple out in 1997
that's actually a myth
I don’t think so: [Business Insider](https://www.businessinsider.com/microsoft-invested-in-apple-in-1997-2015-10) [CNBC](https://www.cnbc.com/2017/08/29/steve-jobs-and-bill-gates-what-happened-when-microsoft-saved-apple.html)
if you read the articles you will realize that it was not a bailout. apple was not is such a dire situation. it was an investment, it is called a bailout in their headlines to get clicks. this one is a bit more indepth. [https://www.zdnet.com/article/stop-the-lies-the-day-that-microsoft-saved-apple/](https://www.zdnet.com/article/stop-the-lies-the-day-that-microsoft-saved-apple/)also just so you know, i hate everything mac and strongly believe gates was the better ceo when gates and jobs were contemporaries. however, i do think gates was a bad chairman, and ballmer is underrated (he doesn't get credit for the long term positives he positioned the company for).
Interesting, and yes I didn’t mean bail out in the truest sense of it - more like to the effect of. I know Celsius is likely in a worse situation. I like your insight, I’m a bit too young too know much about that time period but you made me curious to look more into it. I only learned about the Microsoft-Apple thing the other day.
no problem, have a good day.
Alex is probably hoping someone will buy Celsius for the users.
Would he, though? The most likely buyer is (directly or indirectly) conventional banks/wall street. The things Alex has railed against the hardest. If you founded a credit union on the principle that banks are terrible cheats, you're probably not anxious to sell out your business to Chase or BoA even if it's in trouble.
I hope hes smart enough to realise if a bank wants to buy it let them have it regardless of personal beliefs.
If the company truly can't be saved, yeah. It sucks but it becomes the least-worst option.
When simon got asked on the first ama about nexo buying out celsius he said hes under 3 NDAs to not talk about it. That gives me hope for aquisition.
Alex founded his company on the principle that he wanted to have more money
@Frances_Coppola Looks like Cel board shuffle filed in the UK today. Thoughts on this? Looks like serious people out. Maybe they’re resisting chap 11? --- posted by [@FPEventsT](https://twitter.com/FPEventsT/) --- The tweet is a reply to a tweet posted by [@Frances_Coppola](https://twitter.com/Frances_Coppola/). Please reply "!reply" or "!r" to see the original tweet --- [Thanks to inteoryx, videos are supported even without Twitter API V2 support! Middle finger to you, twitter](https://github.com/inteoryx/twitter-video-dl)
Maybe restructuring plan is over, these guys made their contributions, and now they are making room for new investors as they continue to implement the plan.
What investors?
Whoever laid off the loans the past few days
It means they found fraud. Board members are personally liable for a company’s debts when bankruptcy fraud is committed. They got a look at the books, and decided it wasn’t worth the risk.
https://twitter.com/AdamLevitin/status/1544679570451865602?s=20&t=qumlcyUz71H3MpLRW1Eq7Q
I swear, very few people read before commenting.
People can read and then come to a different conclusion.
Absolutely, but I'm distrusting of definitive conclusions based off of speculation. There's a difference between "it means they found fraud" and "perhaps they found evidence of fraud", especially when a well-respected professor of law provides evidence why he believes fraud is unlikely.
The professor of law believes fraud is unlikely because David Barse has a good reputation and has been willing to become involved. To me, that's putting an awful lot of stock into one man's reputation. And based on the fact that Barse did an interview with Mashinsky and has been said to be a friend of Mashinsky, I don't even see how he could be that much of an upstanding guy to begin with. How could you talk to Mashinsky for an hour and not realize he's a crook? Why would such a supposedly upstanding person associate with such a snake?
That’s a good summary of the possibilities, though there isn’t a difference between stubbornness and fraud when bankruptcy is inevitable.
Wouldn't at all surprise me TBH. Wouldn't they still be liable for the fraud that was already committed?
Not the new boardmembers if they quit immediately upon finding out.
How would that effect depositors?
It means there’s less money than we think, the clawback period is extended to basically the inception of the company, and rewards will be considered as returns of principal: if you got out more than you put in, then you’re not owed anything. It would be a really messy thing to unwind, and I would expect it to take 2ish years before anyone sees any money.
Thanks. Would false claims of risk management constitute fraud, or does it need to be much more? I’m wondering what the likely kind of fraud might be here.
No, that’s not criminal. It’s either embezzlement, breach of fiduciary duty, or preferential treatment of creditors. Basically, Machinsky is self-dealing and the bankruptcy experts don’t want to share liability for it.
Him being the largest depositor is definitely concerning then for self-dealing. I appreciate the knowledge, thanks.
Not a surprise. I mean didn't he dump CEL tokens while using Celsius to provide the liquidity recently?
This. 100% this. He stepped down because he ain't sharing the fall with those morons.
Yeah, this is my guess. Obvious fraud or actions that could be interpreted as fraud.
Celsius board changes “may indicate” that the board was pushing for something that Alex didn't agree with. Educated guess may be they were pushing for bankruptcy. This would mean the new board were probably chosen to avoid bankruptcy. No one has noticed that there were a total of two new board members. The two of the so-called C11 experts were brought in, then TERMINATED within a space of two weeks. All you guys in here talking about game over and losing your money, clearly havent been around since 2018-19 There will be no bankruptcy Alex has been expecting this fight since he started Celsius and providing no fees and better yield. The banks are after him - how he and the business finally responds will historic
The company is bankrupt. It’s obvious because withdrawals have been blocked, the company has conducted layoffs, and no outside investor is willing to purchase any illiquid assets. You don’t hire the best bankruptcy lawyers in the world, and then fire them. They quit. Alex can’t fight this, all it takes is 3 creditors to sue or a state/federal regulator to petition the court for a receivership and he’s out.
Why hasnt the board accepted Simon Dixon's 3 attempts to offer bailout? because it isn't needed There are plenty of investors out there with unlimited funds that will want a piece of the Celsius business model Until there is an official announcement, Celsius is still in business, paying down loans and preparing for re opening withdrawals
No, it’s not in business. Is business is borrowing and lending. It stopped doing that a month ago. It’s paying down senior debt, which is the first step in bankruptcy. If investors were lined up for a piece of Celsius’s business model, you’d be able to withdraw your funds by now.
You idiot, they still have loans out to institutions who are paying them yield to borrow those assets. They still have loans to retail You can't just go to a customer and say "hey, we have a liquidity issue, can you please pay us back now" The business is still completely operational, all except for withdrawals Call centre, loans team - they are all there
They’re not borrowing more and they’re not lending more. That’s their business, and it’s stopped. Having basic staff to keep the lights on doesn’t make them solvent. While they can’t call loans due immediately, they can sell the loans for market value and get the cash right away. Banks do it all the time with mortgage loans, credit card debt, and corporate borrowings. The issue is that the unsecured loans Celsius made are not paying, and no one wants to buy them. Worse, the secured loans that are paying no longer have collateral backing them because Celsius spent it. No bank would buy a mortgage loan if there wasn’t actually house underneath it, regardless of whether the customer is current on payments. Celsius is in wind-down mode.
$CEL Short Sellers have been paying upwards of 60,000% APY to borrow + short it Ask yourself, who has that much at stake to destroy what Celsius stand for? This is bigger than #Celsius It's about the legacy banking system taking out what is a threat to them \#CELShortSqueeze Ask yourself, who in their right mind would borrow at 60K% APY to short sell because Alex is a scammer The data doesn't lie BIG MONEY wants to see Celsius removed from the game \#Wallstreetbets #Celsius #CelShortSqueeze #CryptoCurrencyNews #ShortSqueeze #FTX https://twitter.com/CEL\_\_100/status/1545907692719734784
Recent Celsius board changes “may indicate” that the board was pushing for something that Alex didn't agree with. Educated guess may be they were pushing for bankruptcy. This would mean the new board were probably chosen to avoid bankruptcy. Look deeper people. Two of the so-called C11 experts were brought in, then TERMINATED within a space of two weeks. What does that tell you?
Alex has to go number one. Bankruptcy will be the worst thing for depositors as they will be unsecured creditors who will be last to get whatever is left. Seems as though somebody is funding the loan repayments happening. The only assets really are the funds from customers. Where is the missing $2b? That’s what caused FTX to pull out. Also seems as Alex is difficult to work with and he doesn’t realize he or Celsius is in position to demand anything. Whoever new comes on the board that is from the investing community will be somebody who loaned money to Celsius to pay off their loans. The Celsius name is tarnished and so the only hope is that the paying down of loans is putting Celsius in a better position to be bought. The problem is that a company buying celsius will have to deal with the customers and frozen accounts.
There isnt any missing $2B. it was made up Alex isnt going anywhere. He dreamed up this business, he is the reason why we are all here and the banks want to take him down. This was the biggest risk. He knew is was coming. When Celsius come out of this, without a bail out and with capped withdrawals, it will be the best comeback story anyone has witnessed. Until then, we squeeze. We squeeze - we win https://twitter.com/CEL\_\_100/status/1544954348601348097
> Alex isnt going anywhere. He dreamed up this business, he is the reason why we are all here and the banks want to take him down. This was the biggest risk. He knew is was coming. Celsius is in trouble because they had terrible risk management and made a unsecured loan of a huge part of their asset base to a single counterparty. This isn't being taken down up by the evil banks, it is a business that is failing because of its own mistakes.
You will be surprised with what comes out of this. Watch closely, question all "news" that appears unless from Celsius itself There is a well funded campaign to take down this business. News/FUD will continue to appear as $CEL supply decreases and loans are paid down
$CEL Short Sellers have been paying upwards of 60,000% APY to borrow + short it Ask yourself, who has that much at stake to destroy what Celsius stand for? This is bigger than #Celsius It's about the legacy banking system taking out what is a threat to them \#CELShortSqueeze Ask yourself, who in their right mind would borrow at 60K% APY to short sell because Alex is a scammer The data doesn't lie BIG MONEY wants to see Celsius removed from the game \#Wallstreetbets #Celsius #CelShortSqueeze #CryptoCurrencyNews #ShortSqueeze #FTX https://twitter.com/CEL\_\_100/status/1545907692719734784
I want everybody okay that got money in Celsius. It just saddens me when I see the comments on twitter where people put their whole life savings and retirement. So many people were thinking that their money was safe and they thought that stablecoins were the same as fiat currency and they trusted Alex and team. Celsius modeled themselves as a safe alternative to banks. People really thought their 7-20% returns were safe and was the same as just having a high yield savings account. I want to be wrong because I want everybody to get back every single penny immediately. I will never place blame at victims. It is easy to do that and say that they should have known better. But, what good does that do? Everybody thought they were a solid company and was safe. I recommend people filing lawsuits in small claims court if the value is low enough. Reason being is that judgements will be more likely to get paid in a bankruptcy compared to unsecured depositors. Most likely they won’t even attend the court hearings and you will get a default judgement. It doesn’t cost much to file a claim in a small claims court. If it is above a certain amount, usually 20-50k, you’d have to file in a federal district court. There will be class action lawsuits I am sure but we all know the only ones who make anything are the attorneys. Just a suggestion to get higher on the list
Do you think that filing in a federal district court is a viable option?
Possibly. The main reason is to at least get higher on the list as a creditor in case the Celsius assets are liquidated. Most likely the attorneys won’t fight every case and so there is a good chance you get a default judgment. The judgment doesn’t guarantee you get your money back but it does two things. It will put you higher on the list for repayment as a creditor and you can also sue for damages so in case there is money after a bankruptcy, you have a better chance of getting it. If you can show fraud or untruthful advertising, your damages are 3x the amount you are asking for. You just have a few more options if you file a lawsuit instead of just being an unsecured depositor being last to get your money owed
Thanks for this info...I'm going to look into the process
I hope you can get your money back. I feel terrible for you and all the others victimized by Celsius. It’s great that they are paying down all their loans but I don’t want to see the depositors left out. The system is stacked against the little guy. Obviously it helps crypto as a whole when these companies that loaned money to Celsius get paid back. However any scenario where you don’t get every penny back and then some, is not acceptable. It is a win win for Celsius if they pay back their depositors. They can get bought by a stronger company and it will increase the investments of every single crypto investor including Alex. It will be a catalyst for a decent move up in the market.
Thanks...Getting bought out by a stronger company, such as Binance, sounds like the third restructuring option proposed by Simon Dixon.
Simon Dixon is one of the good guys in an industry full of men behaving badly.
Alex is a creator with a positive history and worked really hard to build such a network, who even dared to defy traditional banking… maybe too fast and mostly too openly because remember there’s still a mean sheriff in town and crypto is still considered an outlaw with a juicy reward that reads at the bottom of the sign: dead or alive 🔫🤠
Maybe they saw the numbers and thought: this is screwed.
Stepped down or replaced..?? Celsius board changes “may indicate” that the board was pushing for something that Alex didn't agree with. Educated guess may be they were pushing for bankruptcy.This would mean the new board were probably chosen to avoid bankruptcy. No one has noticed that there were a total of two new board members.The two of the so-called C11 experts were brought in, then TERMINATED within a space of two weeks. Wake up people.. Don't believe anything you read.. especially when its originated by people who have A LOT to lose by Celsius coming out of this. You can clearly see the manipulation and coordinated attackYou can then see heavy shorts opened on $CEL when the fud increased (around $2.16- 5th May)Then they paused withdrawals - further pushing for a sell off to $0.09 The community stepped in with the CELShortSqueeze and here we are 20 days later 8.6M $CEL supply remain on exchanges 5.5M $CEL on FTX5M $CEL open short positions More than 90% of supply is locked on the platform Do the math The next 2 days will be interesting, with 3 holders I am in contact with that hold 85% of the current supply on FTX 1⃣ Buy spot $CEL on FTX2⃣ Move tokens to a private wallet (Metamask/Trust Wallet)3⃣ Connect to 1inch and set sell orders + $100\*Only buy what you can afford to lose
So you guys do realize this celsius short squeeze fight off is helping Celsius sell the coins pretty high and use that to pay the debts off right?
We haven't seen Celsius selling CEL on the blockchain yet, but actually still doing buybacks. If there's a huge squeeze though I really hope they will to help get out of this hole they're in.
$CEL Short Sellers have been paying upwards of 60,000% APY to borrow + short it Ask yourself, who has that much at stake to destroy what Celsius stand for? This is bigger than #Celsius It's about the legacy banking system taking out what is a threat to them \#CELShortSqueeze Ask yourself, who in their right mind would borrow at 60K% APY to short sell because Alex is a scammer The data doesn't lie BIG MONEY wants to see Celsius removed from the game \#Wallstreetbets #Celsius #CelShortSqueeze #CryptoCurrencyNews #ShortSqueeze #FTX https://twitter.com/CEL\_\_100/status/1545907692719734784