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Celsius Discloses $1.19 Billion Deficit, May Sell Assets (1)

July 14, 2022, 9:05 PM

Bankrupt cryptocurrency lender Celsius Network Ltd. disclosed more details on its collapse, including that it has a $1.19 billion deficit on its balance sheet.

The platform held about $4.3 billion of assets against $5.5 billion of liabilities as of Wednesday, according to a court filing. It suffered from a series of unexpected losses, including losing 35,000 of Ether tokens due to the misplacement of “keys” by its staking service provider StakeHound.

“The amount of digital assets on the company’s platform grew faster than the company was prepared to deploy,” Chief Executive Officer Alex Mashinsky said in a sworn declaration that ...