Overview

• Alexander Mashinsky, former CEO of Celsius Network, was sentenced to 12 years in federal prison for commodities and securities fraud.
• Mashinsky pled guilty in December 2024 to manipulating the value of Celsius’s CEL token and misleading customers about the platform's safety and profitability.
• Celsius froze $4.7 billion in customer funds in June 2022 and filed for Chapter 11 bankruptcy a month later, leaving thousands of investors with substantial losses.
• Prosecutors highlighted Mashinsky's personal profit of $48 million from the fraudulent scheme, while customers lost billions of dollars.
• In addition to prison time, Mashinsky was ordered to forfeit $48.4 million, pay a $50,000 fine, and serve three years of supervised release.