Celsius founder Mashinsky receives lifetime ban, $10M fine

Celsius founder Alexander Mashinsky settled with the FTC, receiving a lifetime ban from asset-related products and a $10M penalty, with a suspended $4.72B judgment if he misreports assets.

Alexander Mashinsky, founder of Celsius Network, has reached a settlement with the U.S. Federal Trade Commission (FTC) that permanently bans him from promoting, marketing, or offering any product or service related to asset deposits, exchanges, investments, or withdrawals. The settlement, approved by Judge Denise Cote in the Southern District of New York, requires Mashinsky to pay $10 million. This payment can be satisfied if he pays at least $10 million to the Department of Justice under a forfeiture order in his criminal case. The order also includes a $4.72 billion judgment in favor of the FTC, which is suspended unless Mashinsky fails to fully disclose assets or misrepresents their value. If he does, the full amount becomes due. In May 2025, Mashinsky was sentenced to 12 years in prison for commodities and securities fraud related to the collapse of Celsius. This ruling concludes a lengthy legal process and ensures Mashinsky is permanently removed from the crypto industry.