A former executive at bankrupt crypto lender Celsius is joining JPMorgan Chase & Co. as the new head of digital assets regulatory policy, just weeks after the bank’s CEO dissed cryptocurrencies as “decentralized Ponzi schemes.”
Aaron Iovine started in the newly-created role this week after previously being the head of policy and regulatory for Celsius from February to September, according to multiple media reports on Wednesday (Oct. 19).
See also: Celsius Founder Reportedly Withdrew $10M in Weeks Before Bankruptcy
Celsius Network founder Alex Mashinsky was discovered to have withdrawn $10 million from the crypto lending platform before freezing withdrawals in June and filing for bankruptcy on July 13, PYMNTS reported.
Celsius filed for bankruptcy as the value of bitcoin and other digital assets continued to plummet amid a volatile stock market, record inflation and a tightening of monetary policy. The fallout of Celsius came on the heels the crash of TerraUSD and Luna.
JPMorgan executives have been vocal critics of digital assets, with CEO Jamie Dimon’s most recent criticisms coming last month before the Senate Committee on Banking, Housing and Urban Affairs during banking compliance hearings on Capitol Hill.
Related: JPMorgan’s Dimon Says Recession Could Happen In 2023
The nation’s biggest bank also has a job opening posted this month for a digital assets counsel position.
PYMNTS reached out to JPMorgan Chase for comment.
According to Iovine’s LinkedIn page, prior to Celsius, he was with Cross River Bank for almost three years, serving as head of policy and regulatory affairs and director of policy and regulatory affairs counsel.
Read more: JPMorgan: Desire Waning for Crypto as Payment Method
Despite Dimon’s dismissive attitude toward digital assets, PYMNTS research shows that 56% of crypto owners are likely to use cryptocurrency to make purchases from restaurants or food delivery services. The problem is that most establishments are still not ready to meet this demand.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More