Per The Block

After the fall of FTX, other crypto firms filed for bankruptcy; recently, Celsius was one of them. While investigating its bankruptcy filings, the company's CFO admits that there could be things done that were "possibly illegal."

Hamuri Urata-Thompson, Celsius CFO, worked at the company from February 2020 until November 2021. The CFO gave a shocking statement sharing how what they were doing might have been illegal revealed in the report.

The news comes after the crypto lender filed for Chapter 11 bankruptcy, as an investigation has been ongoing to find out how the firm operated and why Celsius reached the point of bankruptcy. However, when the lender filed for bankruptcy, it had a $1.2 billion balance sheet hole, which is being investigated.

A court-ordered report into the crypto lender's bankruptcy found that Celsius CEO Alex Mashinsky cashed over $68 million. On top of this, it was found that the lender was involved in riskier business practices and did not report losses in the range of hundreds of millions.

A 700-page report included the findings of Shoba Pillay, the appointed independent examiner, who shared her findings about the company's business practices. It was found that the company was involved in practices that it did not properly advertise to customers.

"Behind the scenes, Celsius conducted its business in a starkly different manner than how it marketed itself to its customers in every key respect... Celsius abandoned its promise of transparency from its start.”

In the most recent FTX development, the two people who co-signed Sam Bankman-Fried's $250 million bail bond can be released to the public per US District Judge Lewis Kaplan. This came after a suit was filed by The Wall Street Journal, Bloomberg, and CoinDesk.

According to the DOJ, SBF also tried to stall filing for bankruptcy so that assets could be transferred from FTX to foreign regulators.

See flow at unusualwhales.com/flow.

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