New York permanently bars Celsius founder Mashinsky in $35M fraud settlement
Summary
Former Celsius CEO Alex Mashinsky agreed to a New York settlement permanently barring him from the cryptocurrency, securities and commodities industries. It requires up to $35 million in conditional payments, in addition to assets already forfeited and his federal sentence. The agreement resolves New York’s 2023 lawsuit alleging he misled investors about Celsius’s safety. Mashinsky is serving 12 years after pleading guilty to securities and commodities fraud. Celsius offered yields as high as 17%, froze withdrawals in June 2022 and filed for bankruptcy the next month, reporting a deficit exceeding $1 billion. The settlement follows separate federal actions, including a CFTC trading ban and an FTC agreement.
