New York Permanently Bars Ex-Celsius CEO Mashinsky From Crypto and Securities Industries
Mashinsky must pay $25 million to New York if he does not forfeit $10 million to federal authorities, officials said.
- On Friday, New York Attorney General Letitia James announced a settlement with former Celsius CEO Alex Mashinsky, permanently banning him from the securities, commodities, and cryptocurrency industries while securing up to $35 million in potential penalties.
- James sued Mashinsky in 2023, alleging he misled more than 26,000 New Yorkers by promoting Celsius as safer than a bank while concealing risky investment strategies and losses.
- The $35 million settlement requires Mashinsky to pay $25 million if he fails to forfeit $10 million in federal ill-gotten gains, plus an additional $10 million if he does not serve his full prison sentence.
- Mashinsky is currently serving a 12-year federal sentence for securities and commodities fraud, with the Commodity Futures Trading Commission having previously issued permanent trading bans that remain in effect alongside this state-level action.
- Celsius customers and creditors have received more than $3.4 billion through bankruptcy proceedings as of August. James stated she will not allow scammers to use cryptocurrencies to prey on unsuspecting New Yorkers.
15 Articles
15 Articles
New York Attorney's Office Agrees to Disable Celsius Founder for Deceiving Investors · Global Voices
New York City, Oct. 9 (EFE).- New York Attorney General Letitia James announced this Friday an agreement that permanently disqualifies the co-founder and former executive director of Celsius, Alex Mashinsky, to operate in the securities, raw materials and cryptocurrencies sectors, and that contemplates payments of up to $35 million. In 2023, the Prosecutor’s Office [...] New York’s Prosecutor’s office agrees to disqualify Celsius’ founder from c…
Celsius Founder Alex Mashinsky Gets Lifetime Ban From New York AG
Celsius co-founder and former CEO Alex Mashinsky is permanently barred from crypto and securities businesses under a New York settlement announced Oct. 9. The agreement follows investor losses tied to misleading safety assurances and exposes him to up to $35 million in conditional payments. Permanent Ban Blocks Mashinsky’s Return to Crypto Business Alex Mashinsky faces […]
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