Overview
- The U.S. District Court for the Southern District of New York entered a consent order on Thursday, June 18, 2026 that permanently enjoins Alexander Mashinsky and bars him from trading and registering with the CFTC.
- Mashinsky earlier pleaded guilty to commodities and securities fraud and was sentenced on May 8, 2025 to 12 years in prison with roughly $48.4 million in forfeiture and a $50,000 fine.
- The CFTC alleged that from 2018 through mid‑2022 Mashinsky and Celsius misled hundreds of thousands of customers about the safety and returns of a pooled crypto lending product while using large uncollateralized loans and risky decentralized finance deals that produced massive losses.
- The CFTC’s final resolution added no new monetary penalties, and it follows other settlements in the case including an FTC agreement earlier this year that cut a $4.7 billion judgment to $10 million and barred Mashinsky from crypto industry work.
- The order closes the CFTC’s civil enforcement front but other matters remain active because Mashinsky has filed a motion to vacate his sentence and the SEC continues separate civil claims that could affect remaining remedies and creditor recoveries.