E Point Perfect
Crypto

Celsius’s Troubles Keep Getting Worse as Federal Investigators Zero In on Failed Lending Firm



article image

Alex Dovbnya

The beleaguered cryptocurrency lending firm is facing investigations in various cryptocurrency states

Embattled cryptocurrency lender Celsius is under federal investigations, Bloomberg reports.

The failed company is facing intense regulatory scrutiny in “at least” 40 states.

Last week, Celsius received a subpoena from federal prosecutors. It was issued just days after the platform unexpectedly blocked withdrawals in June, catching its customers off-guard.

     

Ads

In early September, Vermont regulators accused the crypto landing firm of misleading its investors about its financial health. Celsius suffered financial losses years before filing for bankruptcy despite claiming that it was profitable.

Earlier this month, it came to light that multiple Celsius executives, including former executive CEO Alex Mashinsky, had withdrawn tens of millions of dollars’ worth of crypto from the platform before it went belly-up.  

As reported by U.Today, failed hedge fund Three Arrows Capital is also being investigated by American regulators.



Source link

Related posts

OnePlanet Introduces Launchpad for NFTs on Polygon (MATIC)

“Of Course, We Could Go Lower”

What You Need to Know About It

Potential Bear Storm Underway as Crypto Liquidations Hit New Highs, Analyst Expects

SHIB Burn Rate Spikes 642% as Millions of SHIB Get Wiped Out

Arthur Hayes Says It Might Be “Time for Shopping”